A number of major US airlines are preparing to apply for a 25 billion USD loan program this week after receiving billions of dollars in federal subsidies to workers in the sector.

The US Treasury Department has asked airlines to apply by Friday (April 17) if they want to prioritize applications.

An airline official tells Reuters that most airlines are expected to apply, as no loan installments will be required before the end of September and conditions are favorable.

American Airlines Group Inc confirmed on Tuesday that it plans to apply for a 4.75 billion USD loan ahead of Friday’s deadline set by the Treasury for priority consideration. Alaska Airlines Inc also said it will apply for 1.1 billion USD under the federal program.

United Airlines Holdings Inc and Southwest Airlines Co will also participate while Delta Air Lines is still considering inclusion.

Although some airlines initially planned to use only 25 billion USD in federal wage subsidies, carriers are now realizing that the terms of the new sovereign debt package may be significantly better than those offered in the capital markets.