Troubled Spirit Airlines has obtained some financial leeway, borrowing $300 million and obtaining another extended deadline for refinancing a large chunk of its debt, the company has disclosed.

The Dania Beach-based discount airline, which is still the predominant carrier at Fort Lauderdale-Hollywood International Airport in terms of passengers carried, said in a filing with the Securities and Exchange Commission on Friday that its credit card processor advanced a 2025 note extension deadline to Dec. 23. The borrowing consumed the entirety of the available amount of $300 million under a revolving credit facility.

“Spirit has to address debt payment timing and resizing the fixed cost structure, and it is still unclear if this can be completed with/without Chapter 11,” Raymond James airline analyst Savanthi Syth said in a weekend note to investors.

In the regulatory filing, management said Spirit expects to end 2024 with more than $1 billion in cash. The report drove Spirit’s flagging common stock price up by 31% to $1.91 in after-hours trading on Friday. The shares have plunged by 90% for the year.

“As previously disclosed, the Company remains in active and constructive discussions with holders of its senior secured notes due 2025 and convertible senior notes due 2026 with respect to their respective maturities,” Spirit said in its late Friday filing.

A previous deadline had been set for September and was extended through Monday before the latest extension.

Earlier this month, the Wall Street Journal, citing unidentified sources, reported management was in talks with bondholders “over the terms of a potential bankruptcy filing” after a federal judge blocked Spirit’s takeover by JetBlue Airways.

The airline declined to directly address the report. Previously, Ted Christie, the airline’s CEO and president, had insisted Spirit can work out the refinancing of its long-term debt without the help of a financial reorganization supervised by a federal bankruptcy court. Overall, the airline is reported to be carrying $3.3 billion in debt and hasn’t turned a profit since before the COVID-19 pandemic.

Spirit has been plagued by heavy competition from rival airlines, a number of which have increased their service to and from Florida.  Other problems loom, including a broad recall of Pratt & Whitney jet engines that has continuously grounded a number of its Airbus planes. Faced with a shrunken fleet, Spirit furloughed nearly 200 pilots in early September.

Storms add to troubles

Over a shorter term, hurricane season has been another nagging problem, as catastrophic storms such as Helene and Milton have cost the airline industry millions in lost revenue from disrupted operations.

Syth, the Raymond James analyst, estimates Spirit took a combined $13 million hit against pre-tax earnings from Helene and Milton for September and October, as the storms forced a total of 589 flight cancellations from the two storms.

Spirit continues to promote its revamped pricing structure while altering its route network so the airline serves destinations that generate more business. In August it introduced new ticketing options that include more perks such as premium seats, carry-on baggage, Wi-Fi and snacks.

Most recently, it announced new service between Birmingham, Ala., and Fort Lauderdale. This month, it started service between Charlotte, N.C., and New Orleans.