Airline Pilot Central Forums - So how’s this gonna work out?

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- - So how’s this gonna work out? (https://www.airlinepilotforums.com/spirit/146778-so-howis-gonna-work-out.html)

Quote:

Originally Posted by afterburn81 (Post 3786716)

Look. I’m well aware of the current financial status of the company. Everyone is. Fact is, a human that works for Spirit airlines, possibly management-type, determines the numbers and how they pertain to the balance sheet. Simply put, the same people that release the information regarding the financial statistics of the company, have said nothing about being unable to pay the bills.

So, why do some take the companies word on the loss, but don’t take their word when they say they have a plan to return to profitability? Believe one story but not the other? Makes no sense.

because negativities sells excitement. And negativity breeds more negativity. I’ve said that from the beginning. Why do we believe them when they come with bad news but we absolutely don’t believe them when they come with good news? But I would also say it’s probably the same reason that keeps the people who have moved on to other airlines, coming back here to stir the pot. That I don’t understand at all.

Very good news. Nice chunk of cash for this year.

Quote:

Originally Posted by afterburn81 (Post 3786716)

I can't speak for people who have an agenda, but I wouldn't listen to what anyone says on the matter. You can do the math yourself. Spirit currently burns roughly 100 million per quarter, and has been pretty consistent in that number since Covid. They currently have roughly 900m in cash and 1.5m in current assets. That gives them a runway of 9-15 quarters at the current burn rate. They have a large debt payment of 1.1B due in 2025 that will need to get refinanced at astronimcal rates or it could potentially sink the company. I think it is possible to turn it around, get to profitability, and then figure out that 1.1B debt payment, but I don't think this management team is capable of doing it. They've already sold and leased back some of their aircraft, so they are running out of assets to leverage.

Quote:

Originally Posted by JulesWinfield (Post 3786734)

I am curious about the NK order book timeline now that some have been deferred, the current status of the 319s they were giving back, and the ratio of leased vs owned now. But it’s not my company so I haven’t taken the time to look it up.

Quote:

Originally Posted by DrSteveBrule (Post 3786730)

Very good news. Nice chunk of cash for this year.

Ted’s email made my weekend. Happy Easter fellow yellow friends.

Quote:

Originally Posted by Stayontarget (Post 3786739)

For the 319s: 10 are still in the fleet, still being retired this year.

20 or so deliveries this year, mostly 321neo. More and more neos being pulled from service for engine AD.

Quote:

Originally Posted by BusBoi (Post 3786756)

For the 319s: 10 are still in the fleet, still being retired this year.

20 or so deliveries this year, mostly 321neo. More and more neos being pulled from service for engine AD.

I guess there’s absolutely no way to extend the life of those A319’s is just a wee bit more until those NEO inspections wrap up?

like a little more duct tape or WD-40 or whatever can get the job done??

Quote:

Originally Posted by Halon1211 (Post 3786758)

I guess there’s absolutely no way to extend the life of those A319’s is just a wee bit more?

like a little more duct tape or WD-40 or whatever can get the job done??

My understanding is that the planes are already sold and they can't cancel those sales. The planes themselves can fly indefinitely as long as they pass heavy checks. The 320 series has no hard life limit.

Pratt money is old news. Ted's words were put into a 8k filing is all that happened. That money has already been included in the outlook. Going to be a lot of tears soon when the bad news hits.