Spirit Now Sure As It Emerges From Bankruptcy
08-22-2025 | 11:19 AM
#1261
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Joined: Feb 2024
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really hope the spirit pilot group lands on their feet after this whole thing is said and done. One way or another. What a mess.
08-22-2025 | 11:19 AM
#1262
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Joined: Sep 2020
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Spirit had $11.3M per day of revenue in Q2. They had $13M per day of costs. Its "up to $3M" but its likely they will just take the $3M until they get to where they can cover all outstanding future bookings. So how is Spirit going to cover $13M per day of costs when its effectively only taking in $8.3M in actual revenue? This is a $5M per day shortfall.
08-22-2025 | 11:33 AM
#1263
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Joined: Sep 2021
Posts: 287
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Spirit had $11.3M per day of revenue in Q2. They had $13M per day of costs. Its "up to $3M" but its likely they will just take the $3M until they get to where they can cover all outstanding future bookings. So how is Spirit going to cover $13M per day of costs when its effectively only taking in $8.3M in actual revenue? This is a $5M per day shortfall.
08-22-2025 | 11:47 AM
#1264
That/It/Thang
Joined: Aug 2020
Posts: 3,463
Likes: 275
08-22-2025 | 11:49 AM
#1265
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Joined: Sep 2021
Posts: 439
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Spirit had $11.3M per day of revenue in Q2. They had $13M per day of costs. Its "up to $3M" but its likely they will just take the $3M until they get to where they can cover all outstanding future bookings. So how is Spirit going to cover $13M per day of costs when its effectively only taking in $8.3M in actual revenue? This is a $5M per day shortfall.
Yea, not saying it's good. As someone said earlier you can typically challenge a transaction and get a chargeback for 60 days. So the CC processor would need basically 60 days' worth of Spirit pax money. If we figure all that $11.3m comes from pax, $11.3m times 60 days is $678m total. Divided by $3m a day and that's 226 days of holdback they would need to cover 60 days of pax chargebacks.
08-22-2025 | 11:52 AM
#1266
Bent over by buybacks
Joined: Feb 2017
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08-22-2025 | 12:36 PM
#1267
Line Holder
Joined: Sep 2021
Posts: 287
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How could they possibly sell planes that are unusable for the foreseeable future?
08-22-2025 | 01:28 PM
#1268
That/It/Thang
Joined: Aug 2020
Posts: 3,463
Likes: 275
As reported by the CNBC article, lessors are shopping all planes under lease for Spirit. If NK files CH11, again, the plane lessor doesn’t need to renegotiate to Spirits terms and can ask the judge to move those planes to a carrier in waiting
or if they file Ch7, they have airlines ready for the planes.
Even ol Barry Biffle put a video out about Spirits assets coming on the market. Which I do find ironic that he would be talking about the demise of one ULCC, as his own ULCC has issues at hand too…whistling through the graveyard.
08-22-2025 | 01:37 PM
#1269
Line Holder
Joined: Sep 2021
Posts: 287
Likes: 16
Im not talking about grounded NEOs
As reported by the CNBC article, lessors are shopping all planes under lease for Spirit. If NK files CH11, again, the plane lessor doesn’t need to renegotiate to Spirits terms and can ask the judge to move those planes to a carrier in waiting
or if they file Ch7, they have airlines ready for the planes.
Even ol Barry Biffle put a video out about Spirits assets coming on the market. Which I do find ironic that he would be talking about the demise of one ULCC, as his own ULCC has issues at hand too…whistling through the graveyard.
As reported by the CNBC article, lessors are shopping all planes under lease for Spirit. If NK files CH11, again, the plane lessor doesn’t need to renegotiate to Spirits terms and can ask the judge to move those planes to a carrier in waiting
or if they file Ch7, they have airlines ready for the planes.
Even ol Barry Biffle put a video out about Spirits assets coming on the market. Which I do find ironic that he would be talking about the demise of one ULCC, as his own ULCC has issues at hand too…whistling through the graveyard.
08-22-2025 | 01:55 PM
#1270
On Reserve
Joined: Mar 2024
Posts: 152
Likes: 68
The maximum potential exposure to cash holdbacks by the Company's credit card processors, based upon advance ticket sales and Spirit Saver$ Club
memberships as of June 30, 2025 and December 31, 2024, was $491.6 million and $469.2 million, respectively.
So 960.8 million dollars.
Spirit already have 200 + 50 set aside + another 50 now = 300 million
Worst case scenario 660.8 million......
This deal bought the company 30-60 days.
Davis gonna need to come up with more cash somehow....
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