Interesting. I also don’t understand why it is so difficult to renegotiate the leases on the grounded NEOs. The Lessor can’t make money on those aircraft from anyone else. In fact, it will cost them money to carry those aircraft. At least we can offer some amount to them while we wait for new engines. Seems like we have some leverage there.

 

8k also showed renegotiated terms w/ the cc processor until 2027. They also pulled 275m from the revolver. Plus the selling of more assets to come. They are basically showing they are trying to survive, investors might see that as worth the risk. It wouldn’t take too much to move the stock with so little outstanding shares. The next 6-12 months will be very important to be making a profit or at least satisfying debt obligations.

 

That alone explains the stock going up. The Dec 25 credit card agreement was the next major hurdle

 

under current cash burn plus the 3 million per day in holdbacks it’s still projected another chapter 11 filling will come sometime in Q3-4.

 

"it's still projected" ... Thanks analyst

 

“…some aircraft lessors have reached out to competitors to gauge interest in some of Spirit's aircraft”

the vultures are circling.

https://www.cnbc.com/amp/2025/08/21/...ankruptcy.html

 

agreed the credit card agreement does nothing to improve the underlying economics… but it represented a very dramatic event with a very specific date that is now gone

 

Kind of hopeful, from what I heard from some people who were in the finance industry previously.

This basically means spirit is already sold/has a agreed to deal with someone. No company would lend them the amount of money unless there was something that would get them a return.

Fingers crossed

 

Spirit is now letting the credit card company hold back $3m a day in charges for collateral. Thats $3m a day in flight bookings that NK will not see until the passenger travels, $3m a day less cash flow to fund an operation that lost $2.8m a day during summer. My man, this is not good. The company needs cash, and this, along with the $50m upfront payment, further strains an already overstrained cash flow problem.

Spirit drawing down on their revolving credit line was already pre-approved from when they started borrowing the money on this line. All the bondholders did was take the last dollars allowed to them.

So they borrowed the last money that was pre approved under the existing line, to be paid back in 18 months, to help cash flow losses that are further strained by the credit card processor holding backing $3m a day as collateral.

We are all hoping for the best, and hope is great, but let's keep the eyes wide open. Too much fantasy land going on the last few years that everything is 1 quarter from turning around. Remember, Ted and the boys said that coming out of Chapter 11 they forecasted making $250m this year, instead they lost that amount last quarter.

 

i think his point is that the bank wouldn’t agree to continue letting nk operate at all if there wasn’t some hope on the horizon to get their money back. Whether that’s good for the pilots is another story.. is it’s an acquisition? Those aircraft finally sold? Some other event that will increase liquidity, none of us know but there must be something that motivated them to make a deal rather than pull the plug completely. They have no goodwill for NK they just want their money.