A Spirit Airlines aircraft undergoes operations in preparation for departure on the Austin-Bergstrom International Airport in Austin, Texas, on Feb. 12, 2024.
Brandon Bell | Getty Images
Spirit Airlines on Friday said it reached an agreement with its bank card processor to again prolonged a debt refinancing timeline to December, hours before it was set to hit its deadline.
Spirit said in a filing late Friday that earlier this week it drew down the whole lot of its $300 million revolving credit facility and expects to finish the 12 months with just over $1 billion in liquidity.
“As previously disclosed, the Company stays in lively and constructive discussions with holders of its senior secured notes due 2025 and convertible senior notes due 2026 with respect to their respective maturities,” Spirit said in a filing late Friday.
The deadline was previously set in September and had been prolonged until Oct. 21 before the Friday change. The airline’s stock closed at a latest low Friday, down roughly 3%, at lower than $1.50 per share.
The Miramar, Florida-based airline has furloughed employees, slashed its schedule and deferred aircraft deliveries to save lots of money over the past 12 months.
Lots of its planes have been grounded due to a Pratt & Whitney engine recall. It has also reported weaker-than-expected bookings and its planned acquisition by JetBlue Airways was scuttled after getting blocked by a federal judge on antitrust grounds.
Its shares have tumbled greater than 90% to this point this 12 months and nearly 40% to this point in October alone.
Earlier this month, The Wall Street Journal said the carrier is considering a bankruptcy filing. Spirit and advisor Perella Weinberg Partners didn’t immediately comment on the matter.
