Spirit Air Borrows $275 Million to Avoid Card Payment Disruption

Spirit Airlines signage at LaGuardia Airport in New York.

Photographer: Michael Nagle/Bloomberg

Spirit Airlines Inc. borrowed $275 million via a revolving credit facility to avert a looming cash crunch that had threatened to cut off the company’s ability to accept credit card payments from customers.

At least $50 million of the cash will be aside in order to satisfy the bank that processes Spirit’s credit card transactions, the company said in a regulatory filing.