Spirit Airlines obtained a deadline extension from its credit card processor for the refinancing of $1.1 billion in loyalty program-backed debt that comes due next year.
Spirit said in a regulatory filing on Oct. 18 that the airline now has until Dec. 23 to reach a refinancing agreement; the previous deadline was Oct. 21.
Spirit has been hemorrhaging money, including an operating loss of $360 million in the first half of this year and an operating loss of $496 million in 2023.
The company's poor results sparked concerns about a potential Chapter 11 bankruptcy filing.
Spirit also reported that it had borrowed the entire amount available under a $300 million revolving credit line that matures in September 2026. The airline said it expects to end 2024 with $1 billion in liquidity, down from $1.3 billion at the end of 2023.