Brightline parent companies filed for Chapter 11 bankruptcy protection early Friday as management acted to ease the pioneering firm’s debt load.
But officials who operate the higher-speed passenger railroad that serves South and Central Florida quickly announced that Brightline Trains Florida, the railroad’s operating company, is not affected and its trains are continuing to run without interruption through the state.
In a letter sent to guests, Brightline announced “it is business as usual” as the company is operating its full schedule of trains between Miami and Orlando “and our teammates are ready to welcome you onboard.”
Besides Miami and Orlando, the railroad serves West Palm Beach, Boca Raton, Fort Lauderdale and Aventura with a 32-train schedule.
In a separate news release announcing the Chapter 11 filings in U.S. Bankruptcy Court in New Jersey, the company said $490 million in financing is being made available by “stakeholders” who have previously invested in the company. The money will flow to the operating company to allow Brightline’s service to continue.
“Brightline has built something truly remarkable — a world-class passenger experience with growing ridership and a service our guests love,” the letter to customers declares. “That said, we need to right-size our balance sheet to strengthen the business for the long term.”
“So today, entities associated with Brightline utilized Chapter 11 of the bankruptcy code to restructure the company’s debt — but don’t worry — the trains, the team and the service you know are not impacted and will continue to run as usual,” the letter added.
The company added that passenger tickets and reservations are unchanged.
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