Originally Posted by Excargodog

Not so. I predicted that AA had huge debt at very favorable rates that they would be forced to refinance at much higher rates and they would be fortunate if they didn’t go bankrupt. They were fortunate, because the post COVID rebound was quicker and stronger than anticipated, so DESPITE having had to refinance at much higher rates, they did not enter bankruptcy. They do have exceedingly high debt service $1.467 BILLION for the first three quarters of 2025


https://americanairlines.gcs-web.com...ancial-results

that is a continual drain on their profits. Now my guess is that they’ll survive, but they are looking at a decade or better of high debt service that will limit their dividends as well as their profit sharing. Others have less rosier opinions:

https://liveandletsfly.com/isom-amer...crushing-debt/

an excerpt:



But, as that great philosopher Yogi Berra said, “Predictions are hard, especially about the future.”