Airbus throws I-Air a lifeline:
Just three days after Independence Air reported a $98 million loss and warned that it may be forced to file for bankruptcy, the carrier appears to have been thrown a lifeline. The help is coming from Airbus, which agreed to defer delivery of six A319 jets I-Air was due to receive this year. How does that help I-Air? As part of the move, the carrier will receive a $31.2 million refund from Airbus, which is also allowing I-Air to postpone $11.5 million in other payments schedules for this year. That will allow the carrier to shore up its cash reserves, which have dropped to dangerously low levels since it launched last year. If I-Air is forced to file for bankruptcy, the airline would not be able to reorganize unless it had sufficient cash on hand to fund the restructuring effort. But, The Street.com says the latest deal with Airbus "may help the cash-strapped airline avoid bankruptcy, at least for now."
Posted 8:20 a.m. ET
