3 days ago
Spirit Airlines Ailing From Costs Missed in Quick-Fix Bankruptcy
On its first day in bankruptcy court last November, Spirit Airlines had a simple message for its employees, customers and creditors: Nothing would change for '99.9%' of them, as company lawyer Marshall Huebner put it.
The no-frills, discount carrier only filed its Chapter 11 so it could implement a deal with a small number of bondholders who had agreed to swap their debt for stock. That would slash Spirit's interest bills without the long, expensive court fights — with unions, plane-lease companies, and others — seen when rival airlines went broke.
