John A. Bendoraitis, Executive Vice President and Chief Operating Officer of Spirit Airlines , Inc. (NYSE:OTC:SAVEQ), recently sold a significant portion of his holdings in the company. According to a recent filing, Bendoraitis sold 75,268 shares of common stock, netting approximately $64,293. The shares were sold at an average price of $0.8542 each. This insider sale comes as Spirit Airlines faces significant challenges, with InvestingPro data showing the stock has declined 96% year-to-date and trades at just 0.13 times book value. Following this transaction, Bendoraitis retains ownership of 24,713 shares, which include restricted stock units. InvestingPro analysis indicates the company operates with a significant debt burden and is quickly burning through cash. For comprehensive insider trading patterns and 20+ additional ProTips, access the full Spirit Airlines Pro Research Report on InvestingPro.
In other recent news, Spirit Airlines has been navigating significant financial hurdles. The company is transitioning to the OTC Pink Market following a delisting notification from NYSE Regulation. As part of a broader restructuring strategy, Spirit Airlines is also soliciting consent to amend the agreements governing its 8.00% Senior Secured Notes due 2025. Analysts from TD Cowen and Citi have maintained a Sell rating on the company, reflecting these challenges.
Furthermore, Spirit Airlines has sold 23 of its A320ceo/A321ceo aircraft to GA Telesis for approximately $519 million, which is expected to enhance its liquidity by an estimated $225 million by the end of 2025. The company has also been grappling with the breakdown of merger talks with Frontier Airlines. Spirit Airlines is in financial negotiations and has been unable to file its 10-Q financial report on time due to these ongoing discussions.
Lastly, the company has been impacted by an FAA prohibition on U.S. flights to Haiti due to safety concerns, following an incident where a Spirit Airlines flight was targeted by gunfire. These are the recent developments for Spirit Airlines as it works towards financial stability.
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