-- (Updates with an internal memo reviewed byin the last two paragraphs.)
JetBlue Airways (JBLU) CEO Joanna Geraghty told employees that the airline isn't considering bankruptcy filing this year, Bloomberg reported Monday, citing an internal memo.
Geraghty said the airline has sufficient liquidity and access to additional capital, according to the report.
The airline isn't considering filing for bankruptcy, but higher fuel prices make the operating environment more challenging than JetBlue had expected at the start of the year, Geraghty said in an internal memo reviewed by.
JetBlue has liquidity and access to more sources of capital. It entered into an agreement to borrow $500 million against 22 of its aircraft last week, and it can get another $250 million if needed, but the airline is being mindful of interest expenses, according to the memo.
(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)
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