Spirit stock tumbles amid bankruptcy talks
By Veronika Bondarenko | The Street
Despite repeated reassurances that Spirit Airlines (SAVE) would be able to recover from rising debt and a blocked acquisition by JetBlue Airways (JBLU) , the airline is now talking to bondholders about a restructuring plan in which a Chapter 11 filing is a possibility.
The news, initially broken by The Wall Street Journal late on Oct. 3, sent shares of the low-cost carrier tumbling more than 40% in after-hours trading to $1.36. At last check Friday the stock was trading at $1.53, off 32% from the Thursday regular-session close at $2.24. The Thursday close reflected an 86% drop this year.
"The Spirit team is 100% clear and focused on the adjustments we are currently deploying and wil...