A report claims Florida’s high-speed passenger train, Brightline, is “close” to filing for bankruptcy in an attempt to restructure an estimated $1.1 billion in corporate debt.
Citing people “familiar with the situation,” Bloomberg reported Brightline is on the verge of filing Chapter 11 bankruptcy but did not specify when this might happen. Messages left for a Brightline spokesperson by USA TODAY Network-Florida were not returned.
The filing would reportedly not disrupt Brightline’s daily passenger operations, which serves stations in Orlando, West Palm Beach, Boca Raton, Fort Lauderdale, Aventura and Miami. Bloomberg also reported a group of hedge funds holdings is in discussion with Brightline officials.
What is the financial status of Florida’s Brightline?
According to the company’s April 30 financial
report prepared by the consulting firm Ernst & Young, the rail line lost more than $233 million in 2025 despite higher revenues than the year before
The report stated there the rail line lacks the money to pay off more than $5 billion in debt and interest on schedule. Brightline has a $2.2 billion long-term debt and owes another $2.5 billion in interest over the life of that debt.
According to The Miami Herald, the company was able to get an extension on a $117 million interest payment. But that grace period expired June 15.
What is the status of Brightline’s ridership?
A spokesperson for Brightline told USA TODAY Network in May that the first quarter of 2026 marked the highest ridership and revenue performance in Brightline history, with 20% year over year growth in March.
The company reported at the time that there had been a 16% bump in rides between Orlando and South Florida and 8% growth in rides between its five stations in South Florida.
John Pacenti contributed to this report.
Michelle Spitzer is a journalist for The USA TODAY NETWORK-FLORIDA. As the network’s Rapid Response reporter, she covers Florida’s breaking news. You can get all of Florida’s best content directly in your inbox each weekday day by signing up for the free newsletter, Florida TODAY, at https://floridatoday.com/newsletters
This article originally appeared on Palm Beach Post: Florida's Brightline 'close' to filing for bankruptcy, report claims
