JetBlue finds itself in an unprecedented position—its plans for both the Spirit merger and its alliance with American Airlines remain entangled in litigation.
JetBlue in July announced its $3.8 billion deal to acquire ULCC Spirit and has been awaiting regulatory approval, a process Hayes acknowledged was “complex.”
Spirit Airlines’ unit costs and profitability continue to be negatively affected by significant reliability problems posed by Pratt & Whitney Geared Turbofans.
Spirit Airlines pilots have voted to ratify a new collective bargaining agreement, which includes provisions in case the ULCC's merger with JetBlue collapses.
Spirit Airlines is keeping the focus on customers as it navigates a potential merger with JetBlue Airways, which was officially approved by Spirit’s shareholders last week.
Frontier Airlines may have lost the bidding war for Spirit Airlines, but its future as a standalone carrier looks bright—especially with its largest ULCC competitor now out of the picture.
Spirit Airlines agreed to be acquired by JetBlue Airways in an all-cash deal valued at $3.8 billion, a move that comes one day after its shareholders formally rejected a competing offer from Frontier Airlines.
If Spirit and JetBlue do eventually agree on the terms of a transaction, they will still need shareholder approval as well as antitrust approval from the U.S. Justice Department.