Aircraft Lease Renegotiations Almost Done

[Cosmo]

Reuters reported that as part of today's (2/20) bankruptcy court hearing where United was granted 30 more days to file its reorganization plan with the court, it appears that some progress has been made on the lease restructuring negotiations regarding the remaining aircraft in United's fleet. However, final creditor approval of these restructured leases has apparently not yet been obtained, and the article did not explain why that was so.

From the Reuters article ...

United attorney James Sprayregen told the court on Friday that the air carrier has reached an agreement in principle to restructure leases on 174 airplanes involving more than 100 financial institutions. The creditors committee has maintained some objections to the mass lease restructuring agreement.

If the creditors committee objections can be resolved so that these restructured aircraft lease agreements can be finalized, one more hurdle to United's emergence from bankruptcy will have been overcome. IMHO, that would be very good news!

You can read the entire article here.