JetBlue's creditors are getting organized. A group of the airline's creditors has hired advisers, and JetBlue's $2 billion of notes fell to 42 cents on the dollar, down from near 80 cents earlier this month. JetBlue answered with a short statement of confidence in its strategy. If you hold TrueBlue points or a JetBlue card, here's what's been reported and how to get good use from your points.
What the Reports Say
The reports agree on the main facts. A group of JetBlue's creditors has hired advisers, and $2 billion of JetBlue notes dropped to 42 cents on the dollar, compared with trading near 80 cents earlier in October.
The reports differ in detail. One names PJT Partners as the adviser, calls the group secured creditors, and describes the notes as backed by the TrueBlue program and revenue from JetBlue's Barclays credit card. The other describes a group of senior creditors working with a financial adviser and a law firm, says the notes are due in 2031 and fell this week, and puts JetBlue's debt at close to $9 billion.
What JetBlue Said
JetBlue's statement said the company "remains confident in its JetForward strategy and the progress being made toward returning to sustained profitability."
What TrueBlue Holders and Cardholders Can Do
These habits fit any airline balance:
- Points you plan to use: price the flight you want and book it, instead of holding a balance for someday.
- Buying points: buy only for a flight you've already priced. Our guide to buying JetBlue points walks through the math.
- Transferring points in: Bilt and Rove both added TrueBlue as a 1:1 transfer partner recently. Our pieces on Bilt and Rove cover the terms, and a transfer makes sense once a priced flight needs the points.
- The JetBlue card: our JetBlue Plus Card review covers what the card earns and what it costs.
JetBlue's planned free BlueFirst upgrades for Mosaic members and Premier cardmembers are covered in our upgrade piece, and our JetBlue TrueBlue partners guide lists the other airlines where TrueBlue points can be used.
Conclusion
Spend TrueBlue points on trips you've priced, and wait to buy or transfer points until you have a flight in mind. If JetBlue or its creditors say more, we'll cover it.
