Chapter 11 implies you have something to act as collateral. Since the planes are leased from the owners leasing company to WGA and already encumbered, WGA in fact has ZERO assets. Plus they have defaulted on previous loans to restructure debt. Neff wins in both cases. Chapter 7 is the most likely scenario.

Capacity Purchase Contracts are themselves borrowable assets. You'd be surprised the things that are considered of value.

Jim N knows how to stuff his pockets. If he bought the debt he has found a way to make more $ or lose less.

I might be wrong here, but I was under the impression that all aircraft except for one have been transferred directly to WGA as part of the ESOP program ?

That’s why he’s very rich while we’re spending our precious time on APC 😆 !

Jim Neff has the movie Wall Street on repeat!!!

The current theory is that he bought the debt for pennies on the dollar to gain first lien rights, so he'll be the first to get paid in bankruptcy. That'll be a nasty lawsuit, as that kind of arrangement is illegal. The second in line debtors will sue the living f'ck out of him.

I just wonder if those folks coming up with this theory really believe that a veteran businessman like JN, who made a fortune in the aviation industry is not aware that this kind of
arrangement is illegal and will risk a lawsuit ? He probably never consults his lawyers either ? If only pilots could be in charge of business decisions LOL

Your dear leader CAUSED this financial crisis by overloading the company with debt when the ESOP was formed. He pocketed the money that was raised from some of the bond sale (unsecured creditors) and used that exact same money to purchase distressed debt (from only the secured creditors) at fire sale prices. Or maybe he used the COVID relief millions (that WG wasn't entitled to) to buy the distressed debt? Who knows? What we do know is that he caused this entire crisis and he became the only one to profit from it! "Veteran businessman," or fraudster? The courts will get to make that determination.

This current outcome is good for only a couple of groups, the lawyers and the forensic accountants. WG's credit and reputation are destroyed. Any objective observer can see what happened here and it's going to be hard to find new investors or customers. With the current low level of flying and maintenance issues with the few planes that do fly, how long can WG survive?

Long enough for most of us to get new jobs if needed and watch your personal long term plans fade away. Your frustration is understandable.