Frontier and Spirit announce merger
On 7 February, Frontier Airlines and Spirit Airlines announced that both companies have agreed to merge. The merger-deal is valued 6.6 billion USD and will give Frontier Airlines a 51% controlling stake in the combined airline. If approved by all authorities, the airlines hope to finalize the merger in the second half of this year and with it create the fifth-largest airline in the US.
A new name, or surviving brand name, for the combined airline, its new CEO and location of headquarter haven't been announced. More details on this will follow after the transaction closes and a special committee to work on the integration of the airlines will start.
Frontier Airlines was established in 1994 and is headquartered at Denver (CO). It launched operations with B737-200s, connecting Denver (CO) with various destinations in North Dakota. Later, it added B737-300s and in 1999 acquired its first A318s and A319s. In 2008, the airline applied for Chapter 11 bankruptcy-protection. A year later, in 2009, Republic Airways Holdings announced it planned to acquire the airline. The deal was, however, countered by a rival bid from Southwest Airlines. Eventually, the airline was sold to Republic Airways in an auction in August 2009 and was established as an independent carrier in the Republic Airways Holdings. In the same year, Republic Airways Holdings also acquired Midwest Airlines and in 2010 Frontier Airlines and Midwest Airlines were merged with Frontier being the surviving brand.
In 2012, Republic Airways Holdings decided on a new strategy, focusing on regional flying only and announced its intention to sell Frontier Airlines. In 2013, the company was sold to Indigo Partners, which it still owns today. Next to it's controlling stake in Frontier Airlines, Indigo has (controlling) stakes in JetSmart, WizzAir and Volaris.
Today, Frontier Airlines has a fleet of 111 aircraft, consisting of sixteen A320s, 74 A320neos and 21 A321s.
Spirit Airlines in its turn was founded already back in 1983, then called Charter One Airlines and based out of Detroit (MI). It specialized in travel packages to fun destinations as Atlantic City (NJ), Las Vegas (NV) and the Bahamas. In May 1992 the airline changed its name to Spirit Airlines and added its first jets to its fleet, DC-9s. Later, MD-80 also joined the fleet.
In 1999, the airline relocated to Miramar (FL) and added its first A319 to the fleet in 2005. Since 2010, the airline is an all-Airbus airline and currently has a fleet of 175 aircraft, consisting of 31 A319s, 64 A320s, 50 A320neos and 30 A321s.
Photo by Anton Homma.