Wheels Up is pulling harder on a financial lifeline from Delta Air Lines. In a Form 8-K filed Monday with the U.S. Securities and Exchange Commission, Wheels Up said it was adding up to $30 million to the $15 million short-term financing it received from Delta in the form of a secured promissory note signed August 8.
Following the initial $15 million payment, the companies agreed to amend that note to include an additional $10 million, which Wheels Up received on August 16. Now they have amended it a second time to add another $20 million, bringing the aggregate value of the promissory note up to $45 million.
Wheels Up also said it had received lender forbearance on principal and interest due on the $260 million equipment loan it received last October, guaranteed by portions of its aircraft fleet. The company said lenders had agreed to further extend the grace period to August 23.
On August 15, Wheels Up announced that Delta and investment firms Certares and Knighthood would receive 95 percent of the company’s stock in exchange for a loan of $400 million plus a $100 million “liquidity facility” from Delta. In its latest quarterly financial statement, Wheels Up reported $161 million in losses and $335 million in revenue during Q2 while seeing its available cash erode from $363 million to $152 million.