Spirit secures $100 million financing lifeline

Investing.com -- Spirit Aviation Holdings Inc. has secured access to $100 million in additional financing from creditors, providing a short-term lifeline as the ultra-low-cost carrier navigates its second bankruptcy in less than a year.

The company announced Monday it amended its debtor-in-possession credit agreement to access the incremental funding. Of this amount, $50 million is immediately available, while the remaining $50 million depends on Spirit making continued progress toward a standalone reorganization plan or completing a strategic transaction.

Spirit assured customers that flights, ticket sales and operations will continue normally throughout the holiday season.

"We are grateful to our lenders for continuing to support Spirit’s transformation, recognizing all the significant progress our team has made in recent months," said President and Chief Executive Officer Dave Davis in the statement.

The Florida-based airline filed for Chapter 11 bankruptcy protection in August, following the failure of an earlier restructuring that had eliminated approximately $795 million in debt and required bondholders to inject additional capital.

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