Spirit Airlines files for bankruptcy

Is that because you can't have too many shitty airlines ganging up on the others?

 

The own and lease aircraft

“14. Leases
Notes to Financial Statements—(Continued)
The Company leases aircraft, engines, airport terminals, maintenance and training facilities, aircraft hangars, commercial real estate and office and computer equipment, among other items. Certain of these leases include provisions for variable lease payments which are based on several factors, including, but not limited to, relative leases square footage, enplaned passengers, and airports' annual operating budgets. Due to the variable nature of the rates, these leases are not recorded on the Company's consolidated balance sheets as a right-of-use asset and lease liability. Lease terms are generally 4 to 18 years for aircraft and up to 99 years for other leased equipment and property.
As of December 31, 2023, the Company had a fleet consisting of 205 A320 family aircraft. As of December 31, 2023, the Company had 117 aircraft financed under operating leases with lease term expirations between 2025 and 2041. In addition, the Company owned 73 aircraft of which, as of December 31, 2023, 17 were unencumbered. The Company also had 15 aircraft that would have been deemed finance leases resulting in failed sale-leaseback transactions. The related finance obligation is recorded within long-term debt in the Company's consolidated balance sheets. Refer to Note 13, Debt and Other Obligations for additional information. The related asset is recorded within flight equipment in the Company's consolidated balance sheets. As of December 31, 2023, the Company also had 6 spare engines financed under operating leases with lease term expiration dates ranging from 2024 to 2033 and owned 28, of which, as of December 31, 2023, 4 were unencumbered and 24 were pledged as collateral under the Company's revolving credit facility maturing in 2025.

https://s24.q4cdn.com/507316502/files/doc_financials/2023/q4/save-2023-12-31-10k.pdf

 

They wanted a clean sheet design, but there customers wanted the Maxx, that's how we got the MCAS mess. It was hidden because customers didn't want to pay for training. Add wasting so much money on stock buy backs instead of investing in RnD, here we are

 

I would be they own a portion…

 

Yeah…

Boeing really screwed up with the Max. It’s actually a great plane. And could have been better. But they tried to cut corners. They should have just spent the money to build the Max under being a new plane. Instead we all know the outcome.

I am not sure if the new airbuses fly like the Max. But I flew on a Max for the first time to DC in February. Smoothest/Quietest ride I have ever experienced. I had to ask a Southwest pilot about it. He raved about the Max. His only complaint was that apparently it takes 4 minutes to fire the engines compared to the 30 seconds the older versions take.

 

too many overlapping flights and gates would have given them too much control of certain markets. Alaska had to get rid of some of the Hawaiin routes to clear that hurdle

 

what happens when you let accountants run an engineering company

 

I am eyeing BA stock right now. It is rightly beat up. Just feel it may have a bit more to go. But just can’t see BA going under. Considering on selling 20 put options two weeks out. You can usually get 2% for $2 under the price about two weeks out. And if end up buying the shares because it does go down more. I will hold and one day sell covered calls down the road (hopefully at least lol).

Just checked and ended up today.

 

Yup, short term gain to pop share prices.

Jack Welch(?) school of learning. To bad most ceo think this way.

 

The neo versions are equivalent to the max. I've flown on several of them, the new wings and fms software are great, makes the ride a lot smoother. Boeing has systemic problems, their culture is to reuse as much antiquated design as possible. They usually slap some new things on it and package it as something new. That's what happens when MBAs and accountants run the organization. I've had to deal with them on govt contracts alot, and although I think a lot of them are decent people, their leadership is broken. I literally had a manager from Boeing argue with me about drawing redlines and then in a big meeting we found out they were using the wrong set of drawings... They wanted charge the govt more $ for their mistake. Smh. They are a complete mess top to bottom.

 

Correct. Spirit is all A319, A320 and A321. Southwest is all Boeing 737s.

 

I agree! I still think a Max would not have crashed with a US airline (pilots just better trained and even with the unbelievable decisions made to push it out without proper training the way they did I think a US carrier pilot would have been able to save it though the the Ethiopian crash has me second guessing as their issues started at a much lower altitude). That said…what Boeing did to push the Max through is criminal in my view now.

 

Why JetBlue was a good fit with Airbus and the Embraer 190 as its fleet. This is not surprising after the failed merger. As it was clear that Spirit was looking for a lifeline when the merger fell apart.

 

No loss imo. Spirit is the worst airline I've ever flown on.