There will be no re-financing, they will have to be taken over or closed. Thats the only options.
In the U.K. I guesstimate a return to levels of poverty seen at the end of WW2: grow your own food, run a wood burning stove and cycle to Bogner Regis for your holiday -
Sounds great, doesn't it?
However, the airline industry is not going to disappear. Those with the most fuel efficient aircraft and with some protection from the US dollar will survive. There will have to be some severe capacity reduction for the reduced levels of travel, but I doubt it would be more than 50%.