The U.S. Treasury has sent out the first bail out checks to U.S. airlines (technically direct deposit was required).
So far $2.9 billion out of $25 billion has been disbursed “to 54 smaller passenger carrier and two major passenger airlines,” and agreements have been reached with Allegiant, American, Delta, Southwest, Spirit and United.
The reason only $2.9 billion has been sent so far is that funds will be sent in tranches with 50% up front. It turns out the government has put itself on a payment plan to fulfill its bailout commitments. For instance Southwest has outlined that they’ll get $1.6 billion immediately, and their remaining $1.6 billion in May, June, and July payments.
No final decision has been reached yet on funds for cargo airlines or for aviation contractors.
