Spirit Airlines lands in Chapter 11

Welcome to Seeking Alpha's Wall Street Breakfast, where we cover the top news for investors every morning. Good morning! Today is Monday, November 18th. I'm Julie Morgan.

Spirit Airlines has filed for bankruptcy protection. Spirit has already received backstop commitments for a $350 million equity investment and a $300 million debtor in possession financing arrangement from current bondholders. The airline will complete a deleveraging transaction to equalize $795 million of funded debt as part of the arrangements.

For now, it expects to be delisted from the New York Stock Exchange in near term. The shares are expected to be canceled and have no value as part of spirits restructuring. The airline said in an open letter that customers can continue to book flights and use the rewards programs as normal. Spirit expects to complete the process in the first quarter of 2025. American Airlines was the last major U.S. airline to file for bankruptcy 13 years ago.

Medical Services Company Ker-Max file for Chapter 11 bankruptcy protection on Sunday. Ker-Max, which largely serves older patients, operates 56 medical centers in Florida, Texas, Tennessee, and New York. According to Reuters, the Miami-based company listed assets of $390 million and $693 million in debts in its filing with the U.S. Bankruptcy Court for the Northern District of Texas.

The company reportedly said in its filing that it intends to seek a sale or other options for its management services business and center assets. The filing added that CareMax's board has hired Alvarez and Marshall as its financial advisor and Piper Sandler as its investment banker.

Last week, it said in a filing with the U.S. Securities and Exchange Commission that it would not be able to file its Q3 earnings report because of a lack of funding. Caremax in August posted a Q2 loss of $170.6 million and warned about its ability to continue as a going concern.

Boeing has reportedly delivered layoff notices to more than 400 members of its professional aerospace labor union as part of a larger workforce reduction plan amid ongoing financial challenges. The Seattle Times reported that the pink slips went out last week to members of the society of professional engineering employees in aerospace. The workers will remain on the payroll through mid-January.

Boeing said in October that it planned to cut 10% of its workforce about 17,000 jobs in the coming months. The CEO told employees that the company must reset its workforce levels to align with their financial reality. The SPIA Union said Thursday that the cut set affected 438 members. The union's local chapter has 17,000 Boeing employees who are largely based in Washington with some in Oregon, California and Utah.

I have a few other articles that I'd like to share with you that you can find on Seeking Alpha. NVIDIA's Blackwell AI chips are reportedly overheating in servers. Xi Jinping says China is ready to work with Trump 2.0, but warns on crossing red lines. And Senna World owners are reportedly working on plans to return back to the stock markets.

On our Catalyst Watch for the Day, the two-day Stiffle Healthcare Conference will include participation from a large number of companies in the healthcare sector, including Johnson & Johnson, Etta's Medicine, Maris N.V., and Iones Pharmaceuticals, to name a few. And Fortinet will hold an analyst-day event on the 15th anniversary of the company's IPO. Bank of America expects Fortinet will give long-term guidance ahead of expectations.

Now for a look at the markets today as of 6 a.m. Dow S&P and NASDAQ futures are in mixed territory. Crude oil is up 0.5% at 67 dollars a barrel. Bitcoin is up 1.2% at 91,000. In the world markets, the FTSE 100 is up 0.2% and the DAX is down 0.1%.

Super Microcomputer is on our list of the biggest movers of the day pre-market. SMCI is up 9% after reports surfaced that the company plans to submit a compliance plan to the NASDAQ today to avoid delisting. On today's economic calendar at 10am, the housing market index.

And finally, you know Black Friday is coming up soon, right? Well, Seeking Alpha is getting in on some of that sale action, and we've got something to tell you about. Stay ahead of the market with round-the-clock news coverage. Plus, our new Listen to the article feature means you can carry out your research on the go. Get 20% off full access to premium articles and analysis with our special Black Friday offer. Find out more at SeekingAlpha.com. That's it for today's Wall Street Breakfast.

Thanks for listening. I'm Julie Morgan. Go out and make it a great day.