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Debt and Other Obligations (Tables)
 9 Months Ended
Sep. 30, 2025
Debt Disclosure [Abstract]  
Schedule of Long-term Debt
Long-term debt is comprised of the following:

SuccessorPredecessorSuccessorPredecessor
As ofAs of
September 30, 2025December 31, 2024September 30, 2025December 31, 2024
(in millions)(weighted-average interest rates)
DIP term loan due in 2025$— $309.0 N/A11.82 %
Fixed-rate loans due through 2039 (1) (3)
294.6 972.2 5.27 %6.44 %
Unsecured term loans due in 2031 (3)
— 136.3 2.50 %1.00 %
Fixed-rate class A 2015-1 EETC due through 2028223.6 234.6 4.03 %4.10 %
Fixed-rate class AA 2017-1 EETC due through 2030
152.3 160.3 3.40 %3.38 %
Fixed-rate class A 2017-1 EETC due through 2030
45.5 53.4 3.53 %3.65 %
Fixed-rate class B 2017-1 EETC due through 2026
— 44.7 N/A3.80 %
Fixed-rate class B(R) 2025 EETC due through 2030215.0 — 11.00 %N/A
Exit secured notes due in 2030 (3)
— — 12.00 %N/A
Revolving credit facility due in 2028 (3)
— 300.0 N/A6.67 %
Long-term debt$931.0 $2,210.5 
Less current maturities, net (2)
119.2 436.3 
Less unamortized discounts, net (2)
61.6 13.2 
Total$750.2 $1,761.0 

(1) Excludes obligations related to 18 aircraft recorded as failed sale leaseback transactions as of September 30, 2025. Refer to Note 13, Leases for additional information.
(2) Includes deferred financing costs associated with the Company’s long-term debt, as well as the original issue discount resulting from fair value adjustments under fresh start accounting.
(3) As of September 30, 2025, these debt instruments are recorded within liabilities subject to compromise on the Company's condensed consolidated balance sheets. The Company's fixed-rate loans are comprised of 18 aircraft recorded as failed sale leaseback transactions and bank debt, of which only the 18 aircraft recorded as failed sale leaseback transactions are recorded as liabilities subject to compromise. Refer to Note 3, 2025 Chapter 11 Bankruptcy Proceedings, for additional information.
Schedule of Maturities of Long-term Debt
At September 30, 2025, the successor's long-term debt principal payments for the next five years and thereafter were as follows (in millions):

September 30, 2025
Remainder of 2025$30.9 
2026143.5 
2027167.9 
2028348.4 
202958.0 
2030 and beyond
182.3 
Total debt principal payments(1)
$931.0 


(1) Excludes principal payments related to debt instruments recorded within liabilities subject to compromise on the Company's condensed consolidated balance sheets as of September 30, 2025.
Schedule of Interest Expense, Long-term Debt
Successor's interest expense related to long-term debt and finance leases consists of the following (in thousands):

 SuccessorPredecessor
Three Months Ended September 30, 2025Three Months Ended September 30, 2024
8.00% senior secured notes (1)
$— $23,252 
Fixed-rate term loans (4)
8,732 17,275 
Unsecured term loans (4)
579 343 
Class A 2015-1 EETC2,305 2,531 
Class B 2015-1 EETC— — 
Class AA 2017-1 EETC1,288 1,385 
Class A 2017-1 EETC464 503 
Class B 2017-1 EETC— 438 
Class B(R) 2025-1 EETC (2)
6,964 — 
Convertible notes (3)
— 4,432 
Exit secured notes (4)
17,533 — 
Revolving credit facilities (4)
234 — 
Finance leases6 8 
Commitment and other fees163 412 
Amortization of deferred financing costs and fair value adjustments7,993 3,556 
Total$46,261 $54,135 
(1) Includes $1.1 million of accretion and $22.2 million of interest expense for the three months ended September 30, 2024.
(2) Includes $0.1 million of amortization of the discount, as well as interest expense, for the three months ended September 30, 2025.
(3) Includes $4.4 million of amortization of the discount for the convertible notes due 2026, as well as interest expense for the convertible notes due 2025 and 2026 for the three months ended September 30, 2024.
(4) As of September 30, 2025, these debt instruments are recorded within liabilities subject to compromise on the Company's condensed consolidated balance sheets and therefore ceased accruing interest due to the 2025 Bankruptcy. If not for the 2025 Bankruptcy, the interest expenses for the three months ended September 30, 2025 would have been $11.6 million for the fixed-rate term loans, $0.8 million for the unsecured term loans, $26.1 million for the exit secured notes and $1.9 million for the revolving credit facilities. The Company's fixed-rate loans are comprised of 18 aircraft recorded as failed sale leaseback transactions and bank debt, of which only the 18 aircraft recorded as failed sale leaseback transactions are recorded as liabilities subject to compromise. Refer to Note 3, 2025 Chapter 11 Bankruptcy Proceedings, for additional information.
SuccessorPredecessorPredecessor
Period from March 13, 2025 through September 30, 2025Period from January 1, 2025 through March 12, 2025Nine Months Ended September 30, 2024
8.00% senior secured notes (1)
$— $17,753 $69,757 
Fixed-rate term loans (4)
23,497 13,175 52,630 
Unsecured term loans (4)
2,178 265 1,028 
Class A 2015-1 EETC5,088 1,879 7,649 
Class B 2015-1 EETC— — 446 
Class AA 2017-1 EETC2,870 1,036 4,208 
Class A 2017-1 EETC1,035 373 1,517 
Class B 2017-1 EETC227 325 1,324 
Class B(R) 2025-1 EETC (2)
12,876 — — 
Convertible notes (3)
— 1,246 12,795 
Exit secured notes (4)
48,333 — — 
Revolving credit facilities (4)
234 3,732 — 
DIP term loan— 6,869 — 
Finance leases14 5 25 
Commitment and other fees770 20 1,247 
Amortization of deferred financing costs and fair value adjustments21,019 1,004 10,625 
Total$118,141 $47,682 $163,251 

(1) Includes interest expense for the Predecessor Period from January 1, 2025 through March 12, 2025. Includes $3.2 million of accretion and $66.6 million of interest expense for the nine months ended September 30, 2024.
(2) Includes $0.2 million of amortization of the discount, as well as interest expense, for the Successor Period from March 13, 2025 through September 30, 2025.
(3) Includes interest expense for the convertible notes due 2025 and 2026, for the 2025 Predecessor Period. Includes $13.3 million of amortization of the discount for the convertible notes due 2026, as well as interest expense for the convertible notes due 2025 and 2026, partially offset by $0.5 million of favorable mark to market adjustments for the convertible notes due 2026, for the nine months ended September 30, 2024.
(4) As of September 30, 2025, these debt instruments are recorded within liabilities subject to compromise on the Company's condensed consolidated balance sheets and therefore ceased accruing interest due to the 2025 Bankruptcy. If not for the 2025 Bankruptcy, the interest expenses for the Successor period would have been $26.3 million for the fixed-rate term loans, $2.4 million for the unsecured term loans, $56.9 million for the exit secured notes and $1.9 million for the revolving credit facilities. The Company's fixed-rate loans are comprised of 18 aircraft recorded as failed sale leaseback transactions and bank debt, of which only the 18 aircraft recorded as failed sale leaseback transactions are recorded as liabilities subject to compromise. Refer to Note 3, 2025 Chapter 11 Bankruptcy Proceedings, for additional information.