American Airlines seeks $3.5B more financing to improve liquidity ahead of complicated monthsPublished by Terence Mahier | Source
American Airlines just announced it plans to secure $3.5 billion in new financing to improve its liquidity in the midst of travel restrictions caused by the coronavirus ✈️
The new financing would be a mix of shares, bonds & short-term loans. No need to say that this doesn't come as good news for investors who fear some airlines might not have enough cash to navigate through the crisis 📉
Air traffic numbers are improving every day, but there is still so much uncertainty around the future of air travel for the upcoming months, especially given the recent surge of covid-19 cases 😷
The stock is down 8%, will it keep sinking?
American Airlines stock is down by 50% since January but also up 50% from its recent lows, riding a wave of optimism due to economies reopening around the world 💪
The company said last week that a modest recovery in demand was helping to slow daily cash burn rates in June after the U.S. government reported record low passenger numbers in April amid the pandemic 🎢
Will you travel by plane this summer?
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- Newspill Team 💊
22-Jun 09:08 (Eastern Time)
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