• Investing
  • Stock
Round Table Thoughts
  • Economy
  • Editor’s Pick
Home Editor's Pick Frontier Airlines proposes merging with fellow budget carrier Spirit — again
Editor's Pick

Frontier Airlines proposes merging with fellow budget carrier Spirit — again

by January 30, 2025
by January 30, 2025 0 comment
Share
0
FacebookTwitterPinterestWhatsapp

Frontier Airlines said Wednesday it has again proposed merging with struggling rival Spirit Airlines, which is in bankruptcy.

Frontier and Spirit first announced a deal to merge in 2022, but a JetBlue Airways offer derailed that plan. JetBlue’s proposed acquisition of Spirit was blocked by a federal judge last year, and Spirit filed for bankruptcy protection in November.

Frontier said in a release that it has met with Spirit’s board and executives since it made its proposal this month. Frontier executives said in a email to counterparts at Spirit this week that their plan is better than Spirit’s own plan to emerge from bankruptcy.

“We continue to believe that under the current standalone plan, Spirit will emerge highly levered, losing money at the operating level, and this would not be a transaction we would pursue,” wrote Frontier Chairman Bill Franke and CEO Barry Biffle in a Tuesday email to Spirit Chairman Mac Gardner and CEO Ted Christie. “As a result, time is of the essence.”

Christie and Gardner told their Frontier counterparts that they were rejecting the deal, calling the terms “inadequate and unactionable,” according to a letter shared in a securities filing on Wednesday.

Spirit said it expects to exit Chapter 11 bankruptcy this quarter. It has cut costs recently, including by slashing some 200 jobs and selling some of its Airbus planes. The airline had also been particularly challenged by a Pratt & Whitney engine recall that grounded dozens of its jets.

Budget carriers like Frontier and Spirit have struggled post-pandemic, as costs like salaries have risen and consumers have opted for trips abroad on carriers with options for roomier and more expensive seats.

Both Frontier and Spirit have been working to upend their business models that were marked by low fares and fees for add-ons from seat assignments to cabin baggage.

The airlines last year did away with cancellation and change fees for some of their tickets and started bundling perks along with tickets. Frontier last year said it would start offering a premium section at the front of the plane.

This post appeared first on NBC NEWS
You Might Also Like
  • S&P 500 closes above 5,000 for first time ever, notches fifth straight winning week
  • Honda recalls more than 330,000 vehicles due to mirror issue
  • Google employees pressure costumed execs at all-hands meeting for clarity on cost cuts
  • Disney appeals federal judge’s dismissal of its lawsuit against DeSantis
Share
0
FacebookTwitterPinterestWhatsapp

previous post
Quantum Computing Stocks You NEED to See
next post
Tesla investors want Elon Musk to answer questions about ‘salute,’ role in Trump White House

You may also like

Federal Reserve pauses interest rate hikes this month

June 15, 2023

Redbox set to close as DVD market withers in streaming’s...

July 13, 2024

Citigroup to lay off 20,000 employees in CEO Jane Fraser’s...

January 13, 2024

Trump Media tells shareholders how to block their DJT stock...

April 20, 2024

BP becomes latest to pause Red Sea shipments as Houthi...

December 20, 2023

Roomba-maker iRobot announces it’s laying off 31% of employees after...

January 30, 2024

Disney, Fox, Warner Bros. Discovery call off Venu sports streaming...

January 10, 2025

Quectel Continues to Drive Digital Transformation With Advanced Smart Module,...

January 6, 2023

Microsoft’s mammoth AI bet will lead to over $100 billion...

October 2, 2024

Stellantis could close 18 facilities under UAW deal — here...

September 19, 2023

    Stay updated with the latest news, exclusive offers, and special promotions. Sign up now and be the first to know! As a member, you'll receive curated content, insider tips, and invitations to exclusive events. Don't miss out on being part of something special.


    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Recent Posts

    • From Tariffs to Tech: Where Smart Money’s Moving Right Now

      June 6, 2025
    • Your Weekly Stock Market Snapshot: What It Means for Your Investments

      June 6, 2025
    • Procter & Gamble to cut 7,000 jobs as part of broader restructuring

      June 6, 2025
    • Big Rally Ahead Should Yield All-Time High on This Index

      June 6, 2025
    • Silver’s Surge is No Fluke—Here’s the Strange Ratio Driving It

      June 6, 2025

    Popular Posts

    • 1

      Trump-era China sanctions ended by Biden may be...

      June 27, 2024 2,797 views
    • 2

      Walz’s honeymoon with China gets fresh scrutiny as...

      August 9, 2024 2,503 views
    • 3

      Biden appointee played key role in recruiting Chinese...

      June 25, 2024 2,484 views
    • 4

      Shein’s global ambitions leaves some cybersecurity experts fearful...

      July 10, 2024 2,464 views
    • 5

      Harris VP pick spent years promoting research facility...

      August 29, 2024 2,341 views

    Categories

    • Economy (7,009)
    • Editor's Pick (2,121)
    • Investing (538)
    • Stock (2,597)

    Popular Posts

    • 1

      Trump-era China sanctions ended by Biden may be revived under new House GOP bill

      June 27, 2024
    • 2

      Walz’s honeymoon with China gets fresh scrutiny as Harris camp blasts ‘lying’ critics

      August 9, 2024
    • 3

      Biden appointee played key role in recruiting Chinese businesses to Delaware: ‘Longtime friends’

      June 25, 2024
    • 4

      Shein’s global ambitions leaves some cybersecurity experts fearful of Chinese spy threats

      July 10, 2024
    • 5

      Harris VP pick spent years promoting research facility that collaborated with ‘Chinese military company’

      August 29, 2024

    Latest News

    • From Tariffs to Tech: Where Smart Money’s Moving Right Now

      June 6, 2025
    • Your Weekly Stock Market Snapshot: What It Means for Your...

      June 6, 2025
    • Procter & Gamble to cut 7,000 jobs as part of...

      June 6, 2025

    Categories

    • Economy (7,009)
    • Editor's Pick (2,121)
    • Investing (538)
    • Stock (2,597)

    Disclaimer: RoundTableThoughts.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2024 RoundTableThoughts.com. All Rights Reserved.

    Round Table Thoughts
    • Investing
    • Stock
    Round Table Thoughts
    • Economy
    • Editor’s Pick

    Read alsox

    What to know about travel safety...

    October 25, 2023

    Smart electricity meter penetration rate in...

    November 23, 2022

    Egg prices are falling, with a...

    March 14, 2025
    Sign In

    Keep me signed in until I sign out

    Forgot your password?

    Password Recovery

    A new password will be emailed to you.

    Have received a new password? Login here