Spirit Airlines files for bankruptcy

The budget airlines have been on life support since COVID, so not surprising. These companies are learning that the cost of doing business cant be cut too much, the fixed costs are too high for airlines.

 

I believe that Spirit is all airbus. I dont know if they were planning on buying the 737 max, but if they did, might be a stupid decision on there part irrespective of the Boeing issues. A cheap carrier needs to reduce training and maintenance costs by sticking with one airplane model.

 

JetBlue had a deal to buy them but the US District Court in bastun said it would violate antitrust laws

 

Yep...

 

Seems that the Antitrust Division of the DOJ made a major miscalculation when it blocked the merger of Spirit with JetBlue. Just my opinion and it's way too late since they all occurred over 10 years ago, the mergers of UAL and Continental, Delta and Northwest and American and US Air should have been blocked. Those were much more anti-competitive than the Spirit- JetBlue merger would have been.

 

yet the Alaska Hawaiin merger was approved.Jet Blue and Spirit had a lot of crossover

surprised Spirit did this knowing that djt commerce will approve any and every merger that is proposed. reorganize and then merge with JB after shedding debt and antitrust becomes a faint memory?

 

“pandemic caused swoon” the reason we can’t have nice things.

 

I would never fly spirit anyways, too much nickel and diming

 

Bad business model. Lease payment and high debt = can’t have low costs in a rising cost environment. Good time to flush the equity holders. Debt is going to make out like bandits. GLP-1 drugs should reduce weight and improve fuel efficiency.

 

Its fine for a short flight and trip

 

JetBlue tried just recently…

https://apnews.com/article/jetblue-spirit-merger-court-airline-2d9a640e7f7ecb87d5f60c1cbffbc163

 

I have no insight and speak on ignorance. But I doubt they sell any planes.

Either JetBlue ends up with a better deal or they restructure and maybe pay penalties to not take the 100 Airbuses they have on order.

 

They have plans to buy another 100 Airbus with with option for 50 more they signed in 2019 according to wiki. Assume they have taken some of those by now. Not sure how many they have left to receive.

 

Who knows. The big three/four (Southwest now is ahead of United) maybe cried? But JetBlue was 8 and Spirit 7 for passengers carried in 2023. If you combined them they would still be half of United which is 4th biggest for passengers carried.

 

Smart move on that at least, the A320/321neo is a great plane, much better than the 737. Boeing really should have started with a new design instead of repurposing a 1960s design with new engines and avionics. One of the major carriers will probably snatch them up pretty quick like American or Delta, since Boeing is late on 737 deliveries.

 

I think they own most of them.

Spirit Airlines' Latest Move to Raise Cash: A $519 Million Aircraft Sale