American Moves to Track Spirit Bankruptcy

Carrier requests full access to filings as Spirit weighs restructuring options.

American and Spirit aircraft in Orlando, Florida
American and Spirit aircraft in Orlando, Florida (Photo: Shutterstock | VIAVAL TOURS)
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Key Takeaways:

  • American Airlines has filed a notice in Spirit Airlines' Chapter 11 bankruptcy case, requesting to receive all future documents and updates related to the proceedings.
  • American stated its involvement is due to an "airport-specific agreement" with Spirit, without providing further details.
  • Spirit Airlines is currently in bankruptcy for the second time in less than a year, is evaluating restructuring options, and has warned about its ability to continue as a "going concern."
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American Airlines has filed a notice of appearance in Spirit’s Chapter 11 case, asking the bankruptcy court to provide the carrier with all future documents and updates tied to the proceedings.

In the Friday filing, American asked to receive “any and all notices given or required to be given” in the case, including “orders, notices, hearing dates, applications, motions, petitions, requests, complaints, demands, replies, answers, schedules of assets and liabilities and statements of affairs, operating reports, plans of reorganization and liquidation, and disclosure statements.” 

The notice states that this applies to materials delivered “by mail, hand delivery, telephone, electronic mail, or otherwise.”

The carrier’s filing also specifies that the request should not be interpreted as a waiver of its rights in the case.

An American spokesperson told Reuters the move is connected to an “airport-specific agreement” between the two carriers, without providing further details. In August, Spirit filed for bankruptcy for the second time in less than a year and has said it continues to evaluate restructuring options.

The ultra-low-cost carrier continues to warn about its ability to continue as a “going concern.” Last quarter, it reported a $317 million net loss

Ryan Ewing

Ryan founded AirlineGeeks.com back in February 2013 and has amassed considerable experience in the aviation sector. His work has been featured in several publications and news outlets, including CNN, WJLA, CNET, and Business Insider. During his time in the industry, he's worked in roles pertaining to airport/airline operations while holding a B.S. in Air Transportation Management from Arizona State University along with an MBA. Ryan has experience in several facets of the industry from behind the yoke of a Cessna 172 to interviewing airline industry executives. Ryan works for AirlineGeeks' owner FLYING Media, spearheading coverage in the commercial aviation space.
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