Virgin Atlantic has been looking for – but hasn’t yet received – a government bailout. They’ve presented themselves as insolvent without one.
To conserve cash there are several airline frequent flyer programs that have suspended redemptions, or partner airline redemptions, that would require them to pay out funds. So when Virgin Atlantic’s frequent flyer program went offline due to technology issues, and some bank card transfer partners suspended points transfers (so the points wouldn’t disappear enroute), that raised alarm bells.