Adrian wasn't frightened that she had discovered his interest in the Royce account.
He seemed irritated that she hadn't already realized how much pressure was building behind the scenes.
That troubled her.
And when Margaret called later that afternoon, Noelle began to understand why.
The company faced a financial problem larger than its monthly operating costs.
Three years earlier, Ashford Executive Aviation had expanded rapidly after signing several long-term corporate travel agreements. To meet the increased demand, the company acquired and financed additional aircraft, entered leasing arrangements, and invested in maintenance and operational support facilities.
The expansion made sense at the time.
Revenue was strong.
Demand for private aviation appeared durable.
And the company had a reputation that allowed it to charge premium rates without competing solely on price.
Then several large clients reduced their travel schedules.
Interest expenses increased.
A major corporate customer delayed renewing its annual contract.
And maintenance expenditures rose beyond projections.
Noelle responded by slowing expansion and reviewing the company's operating costs.
But the debt still existed.
A lending syndicate held security interests in certain aircraft and related assets. The company had financial covenants requiring it to maintain specified liquidity and leverage measures.
Missing a covenant did not mean a bank could instantly take every airplane.
There were notice provisions, possible cure rights, waivers, and contractual remedies that depended upon the actual agreements.
But a serious breach could trigger negotiations under conditions less favorable to the company.
Margaret wanted to prevent that.
Royce Capital had offered to acquire a portion of the outstanding debt and provide additional financing.
At first, the proposal appeared useful.
It could extend maturities.
Provide a cash cushion.
And reduce immediate pressure.
But the financing terms contained provisions that could give Royce significant influence over future restructuring decisions.
Noelle had concerns.
She asked for alternatives.
Margaret agreed that a review was necessary.
Adrian, however, had become a vocal supporter of Royce's proposal.
He argued that the billionaire's network could open doors to new investors and corporate clients.
He also insisted that Gavin's past passenger behavior should not be allowed to derail a strategically important relationship.
Noelle rejected that argument.
One issue concerned financing.
The other concerned whether the company would permit someone with a documented record of serious misconduct to return as a passenger.
Allowing money to erase the safety issue would weaken the standards she had spent years building.
Then an anonymous message arrived on her personal business account.