Item 2.02 Results of Operations and Financial Condition.
On August 3, 2022, Allegiant Travel Company (the "Company") issued the press
release attached as Exhibit 99.1 to this Form 8-K concerning our results of
operations for the quarter and six months ended June 30, 2022.
This information is being furnished under Item 2.02 of Form 8-K. This report and
Exhibit 99.1 are deemed to be furnished and are not considered "filed" with the
Securities and Exchange Commission. As such, this information shall not be
incorporated by reference into any of our reports or other filings made with the
Securities and Exchange Commission.
Non-GAAP Financial Measures: The press release contains non-GAAP financial
measures as such term is defined in Regulation G under the rules of the
Securities and Exchange Commission. While the Company believes these financial
measures are useful in evaluating the Company's performance, this information
should be considered to be supplemental in nature and not as a substitute for or
superior to the related financial information prepared in accordance with GAAP.
Further, these non-GAAP financial measures may differ from similarly titled
measures presented by other companies.
Forward-Looking Statements: Under the safe harbor provisions of the Private
Securities Litigation Reform Act of 1995, statements in the press release that
are not historical facts are forward-looking statements. These forward-looking
statements are only estimates or predictions based on our management's beliefs
and assumptions and on information currently available to our management.
Forward-looking statements include our statements regarding future airline
operations, revenue and expenses, ASM growth, expected capital expenditures, the
timing of aircraft acquisitions and retirements, the number of contracted
aircraft to be placed in service in the future, our ability to consummate
announced aircraft transactions, number of possible future markets that may be
served, the implementation of a joint alliance with Viva Aerobus, the
development of our Sunseeker Resort, as well as other information concerning
future results of operations, business strategies, financing plans, competitive
position, industry environment, and potential growth opportunities.
Forward-looking statements include all statements that are not historical facts
and can be identified by the use of forward-looking terminology such as the
words "believe," "expect," "guidance," "anticipate," "intend," "plan,"
"estimate," "project", "hope" or similar expressions.
Forward-looking statements involve risks, uncertainties and assumptions. Actual
results may differ materially from those expressed in the forward-looking
statements. Important risk factors that could cause our results to differ
materially from those expressed in the forward-looking statements generally may
be found in our periodic reports filed with the Securities and Exchange
Commission at www.sec.gov. These risk factors include, without limitation, the
impact and duration of the COVID-19 pandemic on airline travel and the economy,
liquidity issues resulting from the effect of the COVID-19 pandemic on our
business, restrictions imposed on us as a result of accepting grants and loans
under the payroll support programs, an accident involving, or problems with, our
aircraft, public perception of our safety, our reliance on our automated
systems, our reliance on third parties to deliver aircraft under contract to us
on a timely basis, risk of breach of security of personal data, volatility of
fuel costs, labor issues and costs, the ability to obtain regulatory approvals
as needed , the effect of economic conditions on leisure travel, debt covenants
and balances, the ability to finance aircraft to be acquired, the ability to
obtain necessary U.S. and Mexican government approvals to implement the
announced alliance with Viva Aerobus and to otherwise prepare to offer
international service from our markets, terrorist attacks, risks inherent to
airlines, our competitive environment, our reliance on third parties who provide
facilities or services to us, the possible loss of key personnel, economic and
other conditions in markets in which we operate, the ability to successfully
develop a resort in Southwest Florida, governmental regulation, increases in
maintenance costs and cyclical and seasonal fluctuations in our operating
results.
Any forward-looking statements are based on information available to us today
and we undertake no obligation to update publicly any forward-looking
statements, whether as a result of future events, new information or otherwise.
Item 2.03 Creation of a Direct Financial Obligation or an Obligation under an
Off-Balance Sheet Arrangement of a Registrant.
On August 2, 2022, the Company, through a wholly owned subsidiary, entered into
a new senior secured revolving credit facility under which it will be able to
borrow up to $100.0 million based on the value of aircraft and engines which the
Company may choose to place in the collateral pool. The facility has a term of
24 months and any aircraft and engine may remain in the facility for the
duration of the term, subject to certain concentration limits and asset age
restrictions. Any notes under the facility will bear interest at a floating rate
based on SOFR. The proceeds from any drawdowns will be used for general
corporate purposes. There is no balance on the credit facility at the current
time.
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Item 9.01 Financial Statements and Exhibits.
a.Not applicable.
b.Not applicable.
c.Not applicable.
d.Exhibits
Exhibit No. Description of Document
99.1 Press Release issued by Allegiant Travel Company on August 3, 2022
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