Spirit files for bankruptcy

[bimmerphile]

This is a good read.

Spirit Airlines CEO Got A $3.8 Million Bonus A Week Before Its Bankruptcy

There's a backlash against antitrust enforcement because enforcers blocked the JetBlue-Spirit merger. But this one's on the executives, who paid themselves lavishly a week before declaring bankruptcy.

www.thebignewsletter.com

@Cherokee_Cruiser

In 2024, during the trial over JetBlue’s proposed acquisition of Spirit, the judge directly asked Spirit executives if they would go bankrupt should the merger fail. The reason is that there’s a special loophole in merger law, such that if your firm would otherwise fail absent a merger, you can get special dispensation to sell your company even if such a sale would erode competition. And that makes sense, if the company goes out of business then there wouldn’t be competition anyway. So what did Spirit executives tell the judge? They said, no, we’re not a failing firm, we’ll be fine if the merger doesn’t happen.

 

[jtrain609]

This is a good read.

Spirit Airlines CEO Got A $3.8 Million Bonus A Week Before Its Bankruptcy

There's a backlash against antitrust enforcement because enforcers blocked the JetBlue-Spirit merger. But this one's on the executives, who paid themselves lavishly a week before declaring bankruptcy.

www.thebignewsletter.com

I don't see the proper letters after his name. As such, any color he's providing regarding the application of legal tests to evaluate whether a merger violates antitrust law is de facto invalid.

The law is, in fact, not the law when the judge misapplies the test necessary to determine whether a merger is legal.

Because the Alaska Hawaiian merger also harmed consumers since there is route overlap, and if the law is the law, then that one would have been blocked also.

 

[Cherokee_Cruiser]

I don't see the proper letters after his name. As such, any color he's providing regarding the application of legal tests to evaluate whether a merger violates antitrust law is de facto invalid.

The law is, in fact, not the law when the judge misapplies the test necessary to determine whether a merger is legal.

Because the Alaska Hawaiian merger also harmed consumers since there is route overlap, and if the law is the law, then that one would have been blocked also.

Almost ANY two airlines in America will have some route overlap. The question is how much. Both NK and F9 (and B6 for that matter) are heavy in Florida.

AS/HAL route overlaps? You could probably count those on two hands (and maybe one foot).

 

[Cherokee_Cruiser]

So this now exists...


replace the dot with the actual 4 letter f-word.


www.•tedchristie.com

 

[Box hauler]

So this now exists...


replace the dot with the actual 4 letter f-word.


www.•tedchristie.com

Ted getting almost $4m the week before bankruptcy is as south Florida as it gets.

 

[roundout]

Ted getting almost $4m the week before bankruptcy is as south Florida as it gets.

I believe the same happened at AA in 2003.

 

[Skåning]

Saw JB downgrading 343 next year. Hope they can mitigate that somehow.

JetBlue Looks to Trim Pilot Workforce | AirlineGeeks.com

These moves come as the New York-based airline continues to moderate capacity after posting a loss of $60 million in the third quarter.

airlinegeeks.com

 

[Baronman]

Saw JB downgrading 343 next year. Hope they can mitigate that somehow.

JetBlue Looks to Trim Pilot Workforce | AirlineGeeks.com

These moves come as the New York-based airline continues to moderate capacity after posting a loss of $60 million in the third quarter.

airlinegeeks.com

We’ve been crazy overstaffed especially on the CA side. Should come as no surprise. JR CAs have made out like bandits the last year or so. Was a matter of time…

 

[Cherokee_Cruiser]

We’ve been crazy overstaffed especially on the CA side. Should come as no surprise. JR CAs have made out like bandits the last year or so. Was a matter of time…

Made out like bandits in what sense?


LAX cuts I assume because of 36x departures went town to 24x. What about the other 258 CAs, what base (or bases?) are overstaffed? Is it just one base or a reduction throughout all east coast bases?

 

[Sculprit]

Made out like bandits in what sense?


LAX cuts I assume because of 36x departures went town to 24x. What about the other 258 CAs, what base (or bases?) are overstaffed? Is it just one base or a reduction throughout all east coast bases?

Do you genuinely care, or do you just want to know why their was a possibility b6 captains made more then you.

Jk don’t answer that, I already know.

 

[Cherokee_Cruiser]

Do you genuinely care, or do you just want to know why their was a possibility b6 captains made more then you.

Jk don’t answer that, I already know.

Why would you say that. I was just genuinely curious.

 

[Baronman]

Made out like bandits in what sense?


LAX cuts I assume because of 36x departures went town to 24x. What about the other 258 CAs, what base (or bases?) are overstaffed? Is it just one base or a reduction throughout all east coast bases?

The vast majority were either doing no-fly lines (50hrs) or as time had gone on, learned that doing Reserve resulted in just about the same amount of flying (none) and still getting 75 hrs. For me virtually not having to show up and making $300k a year is making out like a bandit.

 

[jtrain609]

The vast majority were either doing no-fly lines (50hrs) or as time had gone on, learned that doing Reserve resulted in just about the same amount of flying (none) and still getting 75 hrs. For me virtually not having to show up and making $300k a year is making out like a bandit.

I would have happily done MORE VIL's, but the landing currency requirement nearly requires reserves to bid one no more than every other month.

 

[Baronman]

Made out like bandits in what sense?


LAX cuts I assume because of 36x departures went town to 24x. What about the other 258 CAs, what base (or bases?) are overstaffed? Is it just one base or a reduction throughout all east coast bases?

The only remaining E190 base (BOS) closes end of summer ‘25. Think we have about 20-25 of them still flying. The remaining CAs vary in seniority from fairly senior to the most junior.

LAX loses about 1/2 their CAs. JFK was about 50 I think… Sounds like the rest of the bases lose some as well but BOS190, LAX 320 and JFK 320 seemed to be where the majority were. Oh and BOS Europe 320 base… there was talk about basing all the EU qualified pilots out of JfK and funneling through BOS on longer trips and trips that included domestic flying tagged onto the Euro flights.

JFK 220 would see growth as we’re getting those aircraft for the foreseeable future.