Wheels Up Experience Inc. Fair Value Disclosure
| December 31, 2025 | |||||||||||||||||||||||
| Level 1 | Level 2 | Level 3 | Fair Value | ||||||||||||||||||||
| Assets: | |||||||||||||||||||||||
Money market funds | $ | 8,383 | $ | — | $ | — | $ | 8,383 | |||||||||||||||
Total assets | $ | 8,383 | $ | — | $ | — | $ | 8,383 | |||||||||||||||
| Liabilities: | |||||||||||||||||||||||
Warrant liability - Public Warrants | $ | — | $ | 13 | $ | — | $ | 13 | |||||||||||||||
Warrant liability - Private Warrants | — | 7 | — | 7 | |||||||||||||||||||
Revolving Equipment Notes | — | — | 180,676 | 180,676 | |||||||||||||||||||
Term Loan | — | — | 350,860 | 350,860 | |||||||||||||||||||
Total liabilities | $ | — | $ | 20 | $ | 531,536 | $ | 531,556 | |||||||||||||||
| December 31, 2024 | |||||||||||||||||||||||
| Level 1 | Level 2 | Level 3 | Fair Value | ||||||||||||||||||||
| Assets: | |||||||||||||||||||||||
Money market funds | $ | 80,812 | $ | — | $ | — | $ | 80,812 | |||||||||||||||
Total assets | $ | 80,812 | $ | — | $ | — | $ | 80,812 | |||||||||||||||
| Liabilities: | |||||||||||||||||||||||
Warrant liability - Public Warrants | $ | — | $ | 13 | $ | — | $ | 13 | |||||||||||||||
Warrant liability - Private Warrants | — | 7 | — | 7 | |||||||||||||||||||
Revolving Equipment Notes | — | — | 317,484 | 317,484 | |||||||||||||||||||
Term Loan | — | — | 284,845 | 284,845 | |||||||||||||||||||
Total liabilities | $ | — | $ | 20 | $ | 602,329 | $ | 602,349 | |||||||||||||||
| Public Warrants | Private Warrants | Total Warrant Liability | |||||||||||||||
| Fair value as of December 31, 2023 | $ | 7 | $ | 5 | $ | 12 | |||||||||||
| Change in fair value of warrant liability | 6 | 2 | 8 | ||||||||||||||
| Fair value as of December 31, 2024 | 13 | 7 | 20 | ||||||||||||||
| — | — | — | |||||||||||||||
| Fair value as of December 31, 2025 | $ | 13 | $ | 7 | $ | 20 | |||||||||||
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Mar 10, 2026 | Showing above |
| 2024 | Mar 11, 2025 | |
| 2023 | Mar 7, 2024 | |
| 2022 | Mar 31, 2023 | |
| 2021 | Mar 10, 2022 | |
| 2020 | Mar 15, 2021 | |
About Fair Value Disclosures
Fair value disclosures classify all assets and liabilities measured at fair value into a three-level hierarchy: Level 1 (quoted market prices), Level 2 (observable inputs like yield curves), and Level 3 (unobservable inputs requiring management estimates). The proportion of Level 3 assets directly reflects how much of the balance sheet depends on internal models rather than market evidence.
Key signals: a growing Level 3 balance relative to total fair-value assets increases valuation uncertainty and earnings volatility risk. Watch for transfers between levels — assets moving from Level 2 to Level 3 often signal deteriorating market liquidity. Unrealized gains and losses on Level 3 positions flow through earnings or other comprehensive income, so large swings deserve scrutiny. For financial institutions, examine the sensitivity disclosures that show how Level 3 valuations change under alternative assumptions. Compare the fair value of debt against its carrying amount to gauge hidden leverage.