Ben Baldanza, Former Spirit CEO And Ultra-Low-Cost Model Pioneer, Dies At 62
ARLINGTON, Virginia—Ben Baldanza, former president and CEO of U.S. ULCC Spirit Airlines, died Nov. 5 after a long battle with amyotrophic lateral sclerosis, commonly known as Lou Gehrig’s Disease. He was 62.
Baldanza, an economist, embarked on a 38-year career in aviation after gaining an internship with American Airlines while pursuing a master’s degree at Princeton University. He ultimately joined American’s finance department when Bob Crandall was CEO. Between then and taking the helm at Florida-based Spirit in 2005, Baldanza worked in finance and revenue management roles at multiple airlines including Continental Airlines, Northwest Airlines, TACA, US Airways and UPS.
At Spirit, he transitioned the money-losing carrier to one that could be profitable based on very low unit costs and fares—he called them bare fares—that unbundled all costs beyond the price of the flight so they could be sold as ancillaries.
In an interview on Aviation Week’s Window Seat podcast last year, Baldanza credited Irish ULCC Ryanair as the inspiration for his model. At the time, it was a new concept in the U.S. and unpopular with lawmakers and travelers, who complained about being “nickeled and dimed” because of charges for bags, onboard water, seat assignments and “extras” that were wrapped into the fares of other airlines.
Baldanza, however, defended his strategy strongly and cheerfully. He also recognized the importance of scale in a deregulated U.S. airline landscape. “The bigger you are, the better you can manage your revenues. Planes are cheaper if you buy them by the hundred than if you buy them by the dozen, right?” he told Window Seat. Investment from Indigo Partners, led by Bill Franke, about a year after Baldanza joined Spirit enabled the airline to grow its network and fleet of all-new Airbus A320-family narrowbodies.
Baldanza said he received notes from grandmothers who said, “Thank you so much. I can now visit my grandkids two or three times a year. I couldn’t afford that before.”
Almost all other carriers in the U.S. and Canada started following the ancillary model, which has become a worldwide industry standard and a hallmark of startups that have made flying more affordable to millions.
Baldanza, who lived in Arlington, Va., with his wife Marcia, left Spirit in 2016 but continued his industry connections by serving on several boards including those of JetBlue Airways and amusement park corporation Six Flags.
In 2023, he was named the recipient of the Air Transport World Joseph S. Murphy Award for service to industry and in July the U.S. National Aeronautic Association (NAA) announced that Baldanza was the recipient of the 2024 Wright Brothers Memorial Trophy.
NAA Chair Jim Albaugh said in that announcement that Baldanza was “universally respected for what he has done, not just at Spirit Airlines, but for how he has impacted the industry over the last several decades.”