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☆ Spirit Airlines isn't considering Chapter 11, 'encouraged' by post-JetBlue plan, CEO says
▼ + stars: | 2024-06-07 | by ( Leslie Josephs | ) www.cnbc.com time to read: +2 min

A Spirit Airlines aircraft undergoes operations in preparation for departure at the Austin-Bergstrom International Airport in Austin, Texas, on Feb. 12, 2024. Spirit Airlines CEO Ted Christie said Friday that the budget airline isn't considering a Chapter 11 bankruptcy filing and is "encouraged" by its plan after a failed takeover by JetBlue Airways . Earlier this year, a federal judge blocked JetBlue's planned takeover of Spirit on antitrust grounds, raising concerns on Wall Street about the money-losing airline's ability to address its debt. "We are proudly executing to our plan as we've exited the merger agreement with JetBlue and are encouraged by the initial results of our stand-alone plan," Christie said at an annual shareholder meeting on Friday. S&P Global Ratings on Wednesday downgraded Spirit, raising questions about its ability to refinance.

Persons: Ted Christie, Spirit, we've, Christie Organizations: Spirit Airlines, Austin, Bergstrom International Airport, JetBlue Airways, Pratt & Whitney, Airbus, JetBlue, Hertz Locations: Austin , Texas, Thursday's

☆ Spirit Airlines gets rid of change and cancellation fees, joining Frontier
▼ + stars: | 2024-05-20 | by ( Ece Yildirim | In Ecedyildirim | ) www.cnbc.com time to read: +3 min

A Spirit Airlines aircraft undergoes operations in preparation for departure at the Austin-Bergstrom International Airport in Austin, Texas, on Feb. 12, 2024. Spirit Airlines is doing away with both change and cancellation fees, effective immediately, days after Frontier's similar announcement, part of an overhaul of the country's biggest discount carriers' longtime strategy. Ancillary revenue routinely surpasses those airlines' ticket prices. Most larger rivals such as Delta , American , Alaska and United got rid of change fees during the pandemic except for the cheapest, most restrictive tickets. Along with getting rid of change fees, Frontier also announced Friday that it will start offering bundles that include add-on options such as early boarding and checked baggage that they previously offered a la carte.

Persons: Matt Klein, Joe Biden, Biden Organizations: Spirit Airlines, Austin, Bergstrom International Airport, CNBC, Southwest Airlines, Frontier, Department of Transportation, Spirit Locations: Austin , Texas, Delta, Alaska, United

☆ A whistleblower at Boeing's supplier said he 'almost grew a fear of flying' from working 12 years there
▼ + stars: | 2024-05-09 | by ( Matthew Loh | ) www.businessinsider.com time to read: +4 min

download the appSign up to get the inside scoop on today’s biggest stories in markets, tech, and business — delivered daily. Read previewA former employee of Boeing supplier Spirit AeroSystems said he nearly developed a fear of flying because of what he saw during his 12-year stint inspecting aircraft fuselages there. "Working at Spirit, I almost grew a fear of flying," said Paredes. Paredes told CBS that he once sent an email pushing back against his managers' requests to speed up inspections and then was removed from his leadership position. Spirit AeroSystems did not immediately respond to a request for comment outside regular business hours by Business Insider.

Persons: —, Spirit AeroSystems, Santiago Paredes, Paredes, Kris Van Cleave, Spirit, John Dean, Max, AeroSystems Organizations: Service, Boeing, Spirit, CBS News, Business, CBS, Alaska Airlines, Federal Aviation Administration, National Transportation Safety, BBC, BI Locations: Wichita, Spirit's Wichita

☆ A Boeing supplier says it tried using Vaseline, cornstarch, and talcum powder to lubricate a door seal before settling on Dawn dish soap: NYT
▼ + stars: | 2024-04-12 | by ( Kwan Wei Kevin Tan | ) www.businessinsider.com time to read: +3 min

Besides the soap, FAA auditors say they saw Spirit mechanics use a hotel key card to check a door seal. In March, The Times reported that Federal Aviation Administration's (FAA) auditors saw Spirit AeroSystems' mechanics applying soap to a door seal. AdvertisementAccording to Buccino, Spirit also tried using other household products such as Vaseline, cornstarch, and talcum powder as a lubricant before settling on liquid Dawn soap. Buccino said the Dawn soap became their top choice because it didn't cause the door seal to degrade over time. Representatives for Boeing, Spirit, and the FAA did not immediately respond to a request for comment from Business Insider sent outside regular business hours.

Persons: Spirit AeroSystems, —, Joe Buccino, Buccino, Spirit, Sean Black, Black, Dave Calhoun, Jennifer Homendy Organizations: Boeing, Spirit, FAA, Service, New York Times, The Times, Aviation, Times, Alaska Airlines, National Transportation Safety Board, NTSB, Business Insider

☆ Spirit Airlines will defer Airbus orders, furlough 260 pilots in race to shore up liquidity
▼ + stars: | 2024-04-08 | by ( Leslie Josephs | ) www.cnbc.com time to read: +3 min

Spirit Airlines said Monday that it will defer deliveries of new Airbus planes and that it plans to furlough about 260 pilots as it tries to boost liquidity. Spirit said it will defer all Airbus planes it has on order that were scheduled to be delivered from the second quarter of 2025 through the end of 2026. The budget airline said the deferrals would boost its liquidity by about $340 million over the next two years. United Airlines pilots' union last month said the company is offering unpaid time off for pilots next month because of late-arriving planes from Boeing . The Air Line Pilots Association, Spirit pilots' union, said Monday it is exploring voluntary measures that could limit the number of pilot furloughs.

Persons: Ted Christie, Christie, Pratt, Spirit, Whitney, Ryan Muller Organizations: Spirit Airlines, Airbus, Pratt & Whitney, JetBlue Airways, Whitney, Association of, United Airlines, Boeing, Air Line Pilots Association, Spirit Locations: Miramar , Florida, City , New Jersey

Spirit Aerosystems had a market capitalization of $3.3 billion as of Thursday's close. "We do not comment on market speculation," a spokesperson for Spirit Aerosystems told CNBC. Boeing in 2005 spun off operations in Kansas and Oklahoma that became the present-day Spirit Aerosystems. It comes less than two months after a section of a Boeing 737 Max 9 plane blew out during an Alaska Airlines flight. It was the latest and most serious in a host of flaws on the Boeing 737 Max, Boeing's best-selling jet.

Persons: Aerosystems, Spirit Aerosystems, Boeing's, Max Organizations: Spirit AeroSystems Holdings Inc, Boeing, Spirit, CNBC, Airbus, Wall Street, Max, Alaska Airlines, Federal Aviation Administration, National Transportation Safety Board Locations: Wichita , Kansas, U.S, Kansas, Oklahoma, Boeing's Renton , Washington

☆ Spirit's CEO says the airline has a plan to become profitable again
▼ + stars: | 2024-02-09 | by ( Marielle Descalsota | ) www.businessinsider.com time to read: +2 min

Read previewSpirit Airlines is still battling to keep its merger plans with Jet Blue alive, but in the meantime its CEO says it has a path to financial stability. AdvertisementSimilarly the annual net loss of $447 million was lower than the $554 million loss for 2022. Spirit's merger with JetBlue was blocked by a federal judge last month on the grounds that it would harm consumers. Spirit plans to sell 25 aircraft and lease them back in a move that generated $419 million, per its results. Spirit did not immediately respond to a request for comment from Business Insider made outside normal working hours.

Persons: —, Ted Christie, Christie Organizations: Service, Jet, Bloomberg, Business, JetBlue, Airbus, Pratt & Whitney, CNBC

☆ Spirit Airlines narrows loss to $184 million, says it's on the path back to profitability
▼ + stars: | 2024-02-08 | by ( Leslie Josephs | ) www.cnbc.com time to read: +3 min

Spirit Airlines ' fourth-quarter loss narrowed to nearly $184 million, but its CEO said the carrier is on a path back to profitability and that the domestic air travel market is improving. Spirit still expects to lose money in the first quarter, however, and said it expects revenue of between $1.25 billion and $1.28 billion, above analysts' forecasts. The carrier plans for 2024 capacity to be flat to up mid-single digits compared with last year, and up 1.5% in the first quarter, Spirit said. Spirit said it expects to have an average of 25 Airbus aircraft grounded this year because of the Pratt & Whitney engine issues. Spirit said expects to have 215 airplanes in its fleet by the end of the year.

Persons: Ted Christie, Spirit Organizations: Airlines, Pratt & Whitney, Airbus, JetBlue Airways, LSEG, Revenue, Company Locations: Miramar , Florida

Alaska Airlines N704AL, a 737 Max 9, which made an emergency landing at Portland International Airport on January 5 is parked at a maintenance hanger in Portland, Oregon on January 23, 2024. Boeing CEO Dave Calhoun met with several U.S. senators Wednesday on Capitol Hill as scrutiny on the company's leaders intensifies over a blown door plug on one of the company's 737 Max 9 planes. "I'm here today in the spirit of transparency ... [and to] answer all their questions, because they have a lot of them," Calhoun told reporters. Earlier Wednesday The Seattle Times reported that the fuselage panel that blew out during the Alaska Airlines flight, manufactured by Spirit AeroSystems , was removed for repair and then improperly reinstalled by Boeing's mechanics, not Spirit's. The stock is down more than 10% since the Jan. 5 Alaska Airlines incident.

Persons: Dave Calhoun, Calhoun, It's, Mike Whitaker, Sen, Dan Sullivan, Sullivan, Spirit AeroSystems, AeroSystems Organizations: Alaska Airlines, Portland International Airport, Boeing, Capitol, Federal Aviation Administration, FAA, CNBC, Republican, Aviation, The Seattle Times, Spirit, U.S . National Transportation, Seattle Times, NTSB Locations: Portland , Oregon, Alaska, Calhoun

☆ Spirit Airlines shares extend rebound after it appeals ruling blocking JetBlue merger
▼ + stars: | 2024-01-22 | by ( Ryan Anastasio | ) www.cnbc.com time to read: +1 min

Spirit and JetBlue planes at Fort Lauderdale-Hollywood International Airport (FLL) in Fort Lauderdale, Florida, US, on Wednesday, Nov. 1, 2023. "Our merger agreement with Spirit remains in effect and we still have obligations under the agreement. This is a standard procedure, required under the merger agreement," JetBlue General Counsel Brandon Nelson said in a note to staff Friday. The stock had dropped more than 60% after the ruling but has rebounded slightly following the appeal and after Spirit raised raised its financial forecast for the fourth quarter of 2023. JetBlue shares rose about 1% on Monday and have climbed more than 3% since its merger with Sprit was blocked.

Persons: Brandon Nelson, William Young, Young, Spirit, Sprit Organizations: JetBlue, Hollywood International, Spirit Airlines, Spirit, U.S, CNBC PRO Locations: Fort Lauderdale, Fort Lauderdale , Florida

☆ How Spirit Airlines' uncertain future could add cost and stress to travel across America
▼ + stars: | 2024-01-21 | by ( Kevin Williams | ) www.cnbc.com time to read: +3 min

Spirit Airlines airplanes at Fort Lauderdale-Hollywood International Airport (FLL) in Fort Lauderdale, Florida, US, on Tuesday, Oct. 24, 2023. Spirit Airlines Inc. is scheduled to release earnings figures on October 26. Photographer: Eva Marie Uzcategui/Bloomberg via Getty ImagesA federal judge's order blocking a $3.8 billion-dollar deal that would have JetBlue Airways purchase rival Spirit Airlines leaves Spirit with an uncertain future. Few places will feel the impact harder than the Arnold Palmer Regional Airport (LBE) if Spirit can't keep flying. The Arnold Palmer Regional Airport has almost all the amenities of any major airport, just on a smaller scale.

Persons: Eva Marie Uzcategui, Arnold, Arnold Palmer, DeNuzio's, Gabe Monzo, Monzo, Jase Ramsey, Ramsey Organizations: Spirit Airlines, Hollywood International, Spirit Airlines Inc, Bloomberg, Getty, JetBlue Airways, Arnold Palmer Regional, TSA, Pennsylvania Department of Transportation, Florida Gulf Coast University, Southwest, Southwest Florida International Locations: Fort Lauderdale, Fort Lauderdale , Florida, Pittsburgh, Latrobe , Pennsylvania, LBE, Orlando, Myrtle Beach, Florida, Fort Myers, Southwest Florida, South Florida

☆ Failed JetBlue takeover could force Spirit to slash fares, restructure as carrier grasps for a path
▼ + stars: | 2024-01-17 | by ( Leslie Josephs | ) www.cnbc.com time to read: +1 min

Spirit Airlines is on shaky footing after JetBlue Airways ' proposed $3.8 billion takeover of the budget carrier was blocked by a federal judge this week. Industry-watchers say the carrier could be forced to cut its already low fares even more. Some Wall Street analysts argue the discount carrier could have to restructure, if not liquidate. A potential bankruptcy could force the airline, known for its low fares and fees for everything else like seat selection and cabin baggage, to slash fares even more. "We may see some shocking prices on major Spirit routes as the carrier tries to bring as much cash in the door as possible," Becker wrote.

Persons: Helane Becker, Cowen, Becker Organizations: JetBlue Airways, Industry, Pratt & Whitney

☆ Spirit Airlines shares sink 20% in second day of losses after judge blocks JetBlue merger
▼ + stars: | 2024-01-17 | by ( Ryan Anastasio | ) www.cnbc.com time to read: +1 min

JetBlue Airways planes are seen near Spirit Airlines planes at the Fort Lauderdale-Hollywood International Airport in Fort Lauderdale, Florida, on May 16, 2022. Shares of Spirit Airlines fell about 23% Wednesday, its second day of double-digit losses, after a judge blocked its proposed merger with JetBlue Airways . "JetBlue plans to convert Spirit's planes to the JetBlue layout and charge JetBlue's higher average fares to its customers," U.S. District Court Judge William Young wrote in his decision. "The elimination of Spirit would harm cost-conscious travelers who rely on Spirit's low fares." Shares of JetBlue fell about 8% Wednesday and are down about 3% since the judge blocked the merger.

Persons: William Young Organizations: JetBlue Airways, Airlines, Fort, Hollywood International, Spirit Airlines, JetBlue, Wall Street, CNBC PRO Locations: Fort Lauderdale, Fort Lauderdale , Florida, U.S

☆ Judge blocks JetBlue-Spirit merger after DOJ's antitrust challenge
▼ + stars: | 2024-01-16 | by ( Leslie Josephs | ) www.cnbc.com time to read: +1 min

LaGuardia International Airport Terminal A for JetBlue and Spirit Airlines in New York. A federal judge blocked JetBlue Airways ' purchase of budget rival Spirit Airlines after the Justice Department sued to stop the merger, alleging it would drive up fares for some of the most price-sensitive consumers. "JetBlue plans to convert Spirit's planes to the JetBlue layout and charge JetBlue's higher average fares to its customers," U.S. District Court Judge William Young wrote in his decision. "The elimination of Spirit would harm cost-conscious travelers who rely on Spirit's low fares." Spirit shares plunged after the ruling and were down more than 50%, while JetBlue's stock gained about 5%.

Persons: JetBlue's, William Young Organizations: LaGuardia, JetBlue, Spirit Airlines, JetBlue Airways, Justice Department, DOJ Locations: New York, Delta, U.S

☆ Boeing is adding more 737 airplane inspections as company says it's 'clear that we are not where we need to be'
▼ + stars: | 2024-01-16 | by ( Sarah Jackson | ) www.businessinsider.com time to read: +2 min

Read previewBoeing is introducing more quality assurance measures in its production process for 737 aircraft following a nightmare Alaska Airlines flight on one of the planes last week. "But, the AS1282 accident and recent customer findings make clear that we are not where we need to be." AdvertisementBoeing will open its factories for inspection to airlines that use 737 planes, and the company is bringing in a third party to conduct an independent review of its quality management system, Deal added. The US Federal Aviation Administration has since grounded all Boeing 737 Max 9 planes with that component until it decides they can safely return to operation. Alaska Airlines said Saturday that it's starting a "thorough review of Boeing's production quality and control systems" and will also "enhance our own quality oversight of Alaska aircraft on the Boeing production line."

Persons: —, Stan Deal Organizations: Service, Alaska Airlines, Business, Boeing Commercial Airplanes, Management, Boeing, US Federal Aviation Administration, Max, FAA, Alaska

A Justice Department lawyer argued that the deal would push fares higher by 30% and leave fewer options for travelers on a budget. Duffy, the Justice Department lawyer, tried to close the door on more divestitures. If Spirit is acquired by JetBlue, Frontier would become the biggest discount carrier in the U.S., followed by Allegiant Air and new entrants Breeze and Avelo. The Justice Department has not indicated whether it will challenge that deal. Spirit agreed to merge with Frontier Airlines, which shares its ultra-low-cost business model, but JetBlue beat Frontier in a bidding war.

Persons: —, Ryan Shores, ”, ” Shores, U.S . Justice Department's, Edward Duffy, Duffy, ” Duffy, William Young, Young, Ronald Reagan, Shores, “, Biden, David Koenig Organizations: BOSTON, JetBlue Airways, U.S, JetBlue, Spirit Airlines, U.S . Justice, Justice, Frontier Airlines, Spirit, New, Justice Department, American Airlines, Frontier, Allegiant Air, Avelo, Alaska Airlines, Hawaiian Airlines, Department, Southwest, AP Locations: ”, Boston, New York City, Fort Lauderdale, Fla, New York, U.S, Sunday, Alaska, Delta, United, Dallas

☆ Alaska-Hawaiian merger faces a Justice Department that has been skeptical of airline deals
▼ + stars: | 2023-12-04 | by ( Leslie Josephs | ) www.cnbc.com time to read: +4 min

An Alaska Airlines aircraft flies past the U.S. Capitol before landing at Reagan National Airport in Arlington, Virginia, U.S., January 24, 2022. It could be the latest in a string of challenges brought by President Joe Biden's Justice Department against airline deals it views as anticompetitive. Alaska Air Group 's executives spent months working on its plan to buy rival Hawaiian Airlines . The Alaska-Hawaiian and JetBlue-Spirit deals are different in approach, but the Alaska acquisition could still face hurdles with regulators. "We have very similar product offerings and we have very limited network overlap."

Persons: Joe Biden's, William Kovacic, Shane Tackett, Samuel Engel Organizations: Alaska Airlines, U.S, Capitol, Reagan National Airport, JetBlue, Joe Biden's Justice Department, Alaska Air Group, Hawaiian Airlines, Spirit, Virgin America, Airbus, Boeing, The, George Washington School of Law, Federal Trade Commission, CNBC, Boston University's Questrom School of Business, ICF Locations: Arlington , Virginia, U.S, The Alaska, Hawaii, Southwest, Asia, Delta, United, Alaska, anticompetitive, Pacific

☆ As a kid she posed with her pilot dad in the cockpit. Years later they recreated the photo, with a twist
▼ + stars: | 2023-11-15 | by ( Francesca Street | ) edition.cnn.com time to read: +8 min

CNN —The first time Jasmijn van Waalwijk van Doorn accompanied her pilot father, Jorrit van Waalwijk van Doorn, to work was a day to remember. Jorrit van Waalwijk van Doorn and Jasmijn van Waalwijk van DoornThe 2006 flight to Uganda was the first of many times young Jasmijn accompanied Jorrit on flights. Jorrit van Waalwijk van Doorn and Jasmijn van Waalwijk van DoornJasmijn trained at the KLM Flight Academy, qualifying in 2018 when she was 20. Jorrit van Waalwijk van Doorn and Jasmijn van Waalwijk van Doorn“She’s a new generation pilot,” he says. Jorrit van Waalwijk van Doorn and Jasmijn van Waalwijk van DoornFor Jasmijn and Jorrit, working together also means getting to travel the world together.

Persons: Doorn, Jorrit, Jasmijn, Ellen, She’s, she’d, “, ‘, Jorrit van, ”, “ We’d, Jasmijn’s, “ It’s, I’m, ’, Doorn Jasmijn, they’ve, what’s, they’re, she’s, he’s, I’ve, Jasmin Organizations: CNN, KLM, Boeing, CNN Travel, KLM Flight Academy, ” Aviation Locations: Netherlands, Uganda, Hong Kong, Jorrit, Doorn, Machu Picchu, Peru, Rio de Janeiro, Brazil, Jasmijn

☆ Shares of Spirit Aero down 16% as company looks to raise cash
▼ + stars: | 2023-11-07 | by ( ) www.reuters.com time to read: +2 min

REUTERS/Benoit Tessier/File Photo Acquire Licensing RightsWASHINGTON, Nov 7 (Reuters) - Shares of Spirit AeroSystems (SPR.N) dropped 16% in extended trade after the company announced new measures meant to raise capital for the embattled aerospace supplier. The company announced a proposed public sale of $200 million of its Class A common stock. It also plans to issue $200 million in convertible debt set to mature in 2028. Chief Financial Officer Mark Suchinski said then that the company "continue(s) to evaluate all refinancing options to address debt," including $1.2 billion of debt set to mature in 2025, "as well as our overall liquidity." Reporting by Valerie Insinna; Editing by Chris Reese and Stephen CoatesOur Standards: The Thomson Reuters Trust Principles.

Persons: Benoit Tessier, planemaker, Patrick Shanahan, Mark Suchinski, Valerie Insinna, Chris Reese, Stephen Coates Organizations: Boeing, International Paris Air, Le, REUTERS, Rights, Airbus, Thomson Locations: Le Bourget, Paris, France

BOSTON, Nov 1 (Reuters) - The CEO of Spirit Airlines on Wednesday defended in court the planned $3.8 billion acquisition of his company by JetBlue Airways as a means to create a viable competitor to the four larger airlines that dominate the U.S. skies. Ted Christie, Spirit's chief executive officer, during the second day of trial in the U.S. Department of Justice's lawsuit challenging the merger testified that his ultra-low-cost airline remained "relatively insignificant" despite years of growth. He said Spirit, which has not turned a profit in three years, had just around 3% of the market and was facing "more effective" competition from those larger airlines - United Airlines, American Airlines, Delta Air Lines and Southwest Airlines - in the aftermath of the COVID-19 pandemic. Christie testified that throughout the negotiations for the deal in 2022, Spirit had been concerned how regulators would view a merger with JetBlue, as the Justice Department had already sued JetBlue to challenge a planned Northeast partnership with American Airlines. Reporting by Nate Raymond in Boston, Editing by Alexia Garamfalvi and Nick ZieminskiOur Standards: The Thomson Reuters Trust Principles.

Persons: Ted Christie, Christie, Spirit, Jay Cohen, William Young, Nate Raymond, Alexia Garamfalvi, Nick Zieminski Organizations: BOSTON, Spirit Airlines, JetBlue Airways, U.S . Department of, Spirit, United Airlines, American Airlines, Delta Air Lines, Southwest Airlines, JetBlue, Frontier Group Holdings, U.S, Justice Department, Democratic, District of Columbia, Thomson Locations: U.S, Boston, New York City, Newark, Fort Lauderdale

ARCADIA, Calif. (AP) — After horse deaths marred this year’s Kentucky Derby and Preakness, and another occurred days ahead of the world championships, safety at the Breeders’ Cup is under intense scrutiny. “We know equine fatalities is a complicated issue and that’s why we’re continuing to invest in resources,” Drew Fleming, president and CEO of Breeders' Cup Ltd., said Wednesday. Breeders’ Cup officials said his death was due to “a cardiac event.” A required necropsy will determine the official cause. With history in mind, 1/ST Racing is conducting periodic inspections and testing of all racing surfaces before the Breeders’ Cup. Dutrow saddles White Abarrio in the Classic, his first Breeders' Cup runner since he returned earlier this year from a 10-year ban for medication violations.

Persons: ” Drew Fleming, Arcangelo, Jena Antonucci, ”, isn’t, Mage didn’t, Ramiro Restrepo, “, Groom, Dionne Benson, “ We’ve, Lisa Lazarus, “ That's, Bob Baffert, Donald Trump, HISA, Antonucci, Rick Dutrow, he's, Derby, Baffert hasn't, Medina Spirit's, Baffert, ” Baffert Organizations: Kentucky Derby, Preakness, Breeders, Santa, Federal Trade Commission, Breeders ’, Belmont, Santa Anita, Triple Crown, Anita, Churchill Downs Inc, Breeders ', Associated Press Locations: ARCADIA, Calif, Kentucky, Santa Anita, California, Santa, Churchill, Belmont, U.S, HISA, Del Mar

REUTERS/Nick Oxford Acquire Licensing RightsNov 1 (Reuters) - Spirit AeroSystems (SPR.N) on Wednesday projected higher-than-expected cash burn for 2023 as it slashed anticipated deliveries of 737 fuselages, but its new CEO said returning the embattled aerospace supplier to positive cash flow will be his "principle goal." "However, we have other cash levers to pull," including organizational inefficiencies and more closely enforcing contracts with its own supply chain, he said. LOWERED 737 DELIVERY EXPECTATIONSOn Wednesday, Spirit increased its anticipated free cash burn to between $275 and $325 million for 2023, compared with the $200 million to $250 million range. Executives said they anticipate positive margins on the 787 program by the first half of 2025 as a result of the agreement with Boeing. Third-quarter cash burn was $136 million, compared with a cash burn of $73 million a year ago.

Persons: Nick Oxford, Patrick Shanahan, Robert Stallard, Shanahan, Abhijith, Maju Samuel, Louise Heavens, Jonathan Oatis, Marguerita Choy Organizations: Spirit AeroSystems Holdings Inc, REUTERS, Boeing, Vertical Research Partners, Airbus, Revenue, Thomson Locations: Wichita , Kansas, U.S, Bengaluru

☆ JetBlue sinks to 12-year low as airline forecasts more losses, Spirit antitrust trial begins
▼ + stars: | 2023-10-31 | by ( Leslie Josephs | ) www.cnbc.com time to read: +1 min

JetBlue Airways stock tumbled to a nearly 12-year low Tuesday as the company forecast a loss for the fourth quarter and heads to court to defend its acquisition of budget carrier Spirit Airlines , a purchase it argues is crucial to its future. Shares fell more than 18% in early trading Tuesday to $3.42 apiece before recovering some of those losses. Spirit shares fell more than 17% at their lowest point to a three-year low. JetBlue plans to remove seats from Spirit's bright-yellow planes and outfit them with seatback screens to match JetBlue's interiors. Spirit's business model is based on packed planes, no-frills fares and fees for everything from seat assignments to carry-on luggage, while JetBlue has more amenities and fewer seats on board.

Organizations: JetBlue Airways, Spirit Airlines, U.S . Department of Justice, Frontier Airlines, U.S, JetBlue, Southwest, Justice Department Locations: Delta, United, U.S

The Biden administration’s fight against consolidation in the airline industry will be tested Tuesday with lawyers for JetBlue Airways and the Justice Department squaring off in court. The administration is suing to block JetBlue’s proposed $3.8 billion acquisition of Spirit Airlines. The Justice Department is fresh off victory in a previous lawsuit that killed a partnership between JetBlue and American Airlines. If it swallows Spirit, JetBlue will leapfrog Alaska Airlines but still control less than 10% of the U.S. air-travel market. The Justice Department argues, however, that Spirit is the disruptive force that needs to be protected.

Persons: Biden, Obama Organizations: JetBlue Airways, Department, Spirit Airlines, JetBlue, Justice Department, American Airlines, U.S, Alaska Airlines, New, Big, Spirit, The, US Airways, JetBlue Airways Corp Locations: Boston, U.S, United, Delta, New York, Miramar , Florida, New York City, Fort Lauderdale , Florida, Continental

[1/2] Airplane model is placed on displayed Spirit Airlines and jetBlue Airways logos in this illustration taken, June 21, 2022. REUTERS/Dado Ruvic/Illustrations/File Photo Acquire Licensing RightsBOSTON, Oct 31 (Reuters) - The U.S. Department of Justice heads to trial on Tuesday to urge a federal judge to block JetBlue Airways' (JBLU.O) planned $3.8 billion acquisition of ultra-low-cost carrier Spirit Airlines. The trial will take place without a jury over about three weeks before U.S. District Judge William Young. A merger between JetBlue and Spirit, the sixth and seventh largest U.S. carriers, respectively, would mark the first major U.S. airline combination since Alaska Airlines bought Virgin America in 2016. The Justice Department alleges the merger would eliminate the pressure larger airlines, including JetBlue, face to lower their fares in response to competition from Spirit and cost consumers over $2 billion in higher fares annually.

Persons: Dado Ruvic, Joe Biden's, William Young, Young, Biden, Leo Sorokin, Nate Raymond, Alexia Garamfalvi, Nick Zieminski Organizations: Airlines, jetBlue Airways, REUTERS, Rights, U.S . Department of Justice, JetBlue Airways, Spirit Airlines, U.S, JetBlue, Spirit, Alaska Airlines, Virgin America, United Airlines, American Airlines, Delta Air Lines, Justice Department, Department, Democratic, District of Columbia, The, Big, American, Thomson Locations: Boston, U.S, New York City, Newark, Fort Lauderdale

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