Stimulus Checks Going Out The Door… To Airlines

The U.S. Treasury has sent out the first bail out checks to U.S. airlines (technically direct deposit was required).

Money Printer Go Brrr from r/Jreg

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.

About Gary Leff

Gary Leff is one of the foremost experts in the field of miles, points, and frequent business travel - a topic he has covered since 2002. Co-founder of frequent flyer community, emcee of the Freddie Awards, and named one of the "World's Top Travel Experts" by Conde' Nast Traveler (2010-Present) Gary has been a guest on most major news media, profiled in several top print publications, and published broadly on the topic of consumer loyalty. More About Gary »

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