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Cubic Corp, backed by Elliott Investment Management and Veritas Capital, plans to defer an interest payment on its debt to manage liquidity. This decision comes seven months after a balance sheet restructuring that reduced debt and included a $170 million equity injection.

Cubic's current debt stands at approximately $2.5 billion, with some loans quoted at about 38 cents on the dollar, indicating investor concerns about credit quality. Previously, S&P Global Ratings noted improvements in Cubic's capital structure post-restructuring, despite ongoing operational challenges from supply chain issues and contract delays. While Cubic has secured defense contracts with the US Air Force and Canada's Department of National Defence, it faced setbacks in its transportation division, losing a major contract to Indra Sistemas for the management of fare systems in London.