Spirit Airlines has agreed to merge with JetBlue Airways instead of Frontier Airlines.
The merger is worth $3.8 billion and could provide more comfort to customers while maintaining low fares.
Spirit’s history dates back to 1964, when it started as a trucking company in Michigan.
Spirit Airlines is one of the most recognizable airlines in the US, serving over 80 destinations across the Americas with its bright yellow aircraft and ultra-low-cost business model.Spirit Airlines
Getty Images
Source: Spirit Airlines
“We can go head-to-head with the legacies in more places to lower fares and improve service for everyone,” he said in a Thursday press release.JetBlue Airways A321neo.
Lukas Wunderlich/Shuttestock
However, legislators, including Senator Elizabeth Warren of Massachusetts, Senator Bernie Sanders of Vermont, and Representative Alexandria Ocasio-Cortez of New York, have said in the past that the deal could increase fares and worsen customer service.Sen. Elizabeth Warren.
Tom Williams/CQ-Roll Call, Inc via Getty Images
Source: New York Times
The lawmakers have asked Transportation Secretary Pete Buttigieg and the Justice Department to closely review the merger and to oppose any union if it violates antitrust laws or goes against public interest.Buttigieg is taking an even more high-profile turn as he sells a trillion-dollar infratructure package around the nation. He took his first international trip as a Cabinet member to COP26 in Glasgow last week.
Photo by Ian Forsyth/Getty Images
Source: New York Times
If the deal does go through, JetBlue said it plans to scrap Spirit’s brand by retrofitting all of the budget carrier’s planes into JetBlue’s product. This would leave Frontier as the US’ only large ultra-low-cost airline.Inside Spirit’s A320 plane.
Thomas Pallini/Insider
Source: Insider
Analysts say that Frontier being a standalone airline will actually be a good thing because its low-cost competition will put pressure on JetBlue to keep fares low.Frontier Airlines.
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Spirit was not originally founded as an airline but started as Clippert Trucking Company in 1964. In 1974, the company was refounded as Ground Air Transport Inc. by Michigan-native Ned Homfeld.Tractor trailers roll along the highway in Miami, Florida.
Joe Raedle/Getty Images
Source: Spirit Airlines Association of Flight Attendants AFA-CWA
Homfeld eventually founded the first passenger version of Spirit in 1980 — Detroit-based Charter One Airlines. The charter tour company officially launched operations in 1983 using turboprop aircraft.Convair 580 turboprop (not Charter One Airlines)
Josef Hanus/Shutterstock
Source: Spirit Airlines Association of Flight Attendants AFA-CWA
Charter One’s operation in the Bahamas is notable because it means Spirit has always offered passenger service beyond the US.Spirit Airlines aircraft
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Source: Simple Flying
In 1990, a decade after its founding, Charter One launched scheduled air service from Boston, Detroit, and Providence to Atlantic City, marking the start of the company’s commercial operations.Spirit Airlines aircraft
Thomas Pallini/Insider
Source: Spirit Airlines Association of Flight Attendants AFA-CWA
Charter One leased two Convair 580 turboprops for the service. It would operate the planes for only a couple of years before rebranding to Spirit Airlines.Convair 580 turboprop (not Charter One Airlines).
Carlos Yudica/Shutterstock
Source: Spirit Airlines Association of Flight Attendants AFA-CWA
Spirit’s early fleet also consisted of McDonnell Douglas MD80 aircraft. According to Plane Spotters, 44 DC-9 and MD80 planes were delivered through the 1990s and early 2000s, with the last MD80 leaving the company in July 2010.Spirit Airlines McDonnell Douglas MD-80
Ivan Cholakov/Shutterstock
Source: PlaneSpotters, International Directory of Company Histories Volume 31
In its early years, Spirit was referred to by Travel Agent Magazine as the “most successful small carrier you’ve never heard of,” flying over a quarter-million people in 1993 and bringing in $21 million in revenue.Spirit Airlines
EQRoy
Source: International Directory of Company Histories Volume 31
While the company was growing, it was starting to face tougher competition. So, it started to seek out a “big brother” to help it along the way, and Delta’s regional carrier Comair wanted to buy Spirit for $20 million.Comair Delta Connection aircraft
QualityHD/Shutterstock
Source: AvGeekery, International Directory of Company Histories Volume 31
In June of that year, Spirit took over defunct carrier Sun Jet’s routes from New Jersey to Florida after it declared bankruptcy. Sun Jet and Spirit had been flying chartered tours on behalf of reservation company World Technology Systems.Sun Jet International Airlines
Trevor Bartlett/AB Pic
Source: Crain’s Detroit, International Directory of Company Histories Volume 31, AB Pic
That year, Spirit saw a revenue of $121 million, had 20 aircraft in its fleet, and posted the industry’s highest load factor that year with 76.4% full. Moreover, it carried 1.4 million passengers, increasing its customer traffic by 80% compared to 1997.Spirit Airlines
Skycolors/Shutterstock
Source: International Directory of Company Histories Volume 31
Spirit got a new home in 1999 when it moved its corporate headquarters from Eastpointe, Michigan to Miramar, Florida. The airline had been courted by a number of other cities before making its decision, including Detroit and Atlantic City.Spirit Airlines headquarters in Miramar, FL
Joe Raedle/Getty Images
Source: Tribune Business News, International Directory of Company Histories Volume 31
Miramar made sense because it was in the Fort Lauderdale area where Spirit’s tour company was already based, and the airline had been serving Fort Lauderdale-Hollywood International Airport since 1993.Spirit Airlines counter at Fort Lauderdale-Hollywood International Airport
Joe Raedle/Getty Images
Source: Sun-Sentinel, International Directory of Company Histories Volume 31
Despite the hiccup, Spirit continued to expand throughout the 2000s. It added San Juan, Puerto Rico to its scheduled service in 2001. Meanwhile, Boston, Grand Cayman, and San Francisco were added in 2006.Spirit Airlines plane in San Juan, Puerto Rico
RICARDO ARDUENGO/Getty Images
Source: Aviacionline, Massport, Cayman Compass, San Francisco International Airport
In 2002, Spirit began growing its Airbus A320 fleet, which is the only aircraft family in its fleet today. The first livery was greyscale…Spirit Airlines greyscale livery
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Source: Aviation Week, Norebbo
…the second was the blue paint scheme…Spirit Airlines blue paint scheme
Carlos Yudica/Shutterstock
Source: USA Today
…and the third, which is the most recognized today, is the all-yellow “Bare Fare” livery, introduced in 2014.Spirit Airlines “Bare Fare” livery
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Source: Orlando Sentinel
In 2005, Spirit brought on its new CEO and President Ben Baldanza who transitioned the airline to the US’ first ultra-low-cost carrier.Former Spirit Airlines CEO Ben Baldanza
CNBC/Getty Images
Source: Simple Flying
In 2007, the airline rebranded its business class, Spirit Plus, with the Big Front Seat, which passengers could secure for an extra fee.Spirit Airlines Big Front Seat
Thomas Pallini/Insider
Source: Spirit Airlines, SeatMaestro
In June 2010, Spirit pilots went on strike for six days amid poor wages and benefits, causing hundreds of flight disruptions. At the time, Spirit Airbus crews were some of the lowest-paid pilots in the US.Spirit Airlines pilot strike
Joe Raedle/Shutterstock
Source: The New York Times
Also that year, Spirit became the first airline to charge for carry-on bags. The move reduced its operating costs because it lowered the aircraft’s fuel consumption. It also sped up the boarding process and ensured there was enough overhead bin space.Spirit Airlines bag size checker
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Source: ABC News
In 2011, the carrier began charging for boarding passes printed at the airport ticket counter and reduced its maximum checked baggage weight from 50 to 40 pounds.Spirit Airlines check in kiosk
Thomas Pallini/Insider
Source: CNN
While it kept costs low, Spirit’s no-frills business strategy has been controversial throughout its history. In 2011, the DOT fined the airline $50,000 for deceptive advertising, claiming it did not include hidden fees, like bags, added to its discounted fares.Spirit Airlines check-in area
Thomas Pallini/Insider
Source: Consumer Reports
Then, in 2012, the airline came under fire after it refused to refund dying Vietnam veteran Jerry Meekins’ ticket after he was told by his doctor not to fly due to terminal cancer. Spirit cited its strict no-refunds policy as the reason, but still received immense backlash from the veteran community.Spirit Airlines
Ken Wolter/Shutterstock.com
Source: HuffPost
After threats to boycott, Baldanza apologized to the vet and personally issued the $197 refund, saying “sometimes we make mistakes.” The company also donated $5,000 to the Wounded Warriors Project in Meekins’ name.Wounded Warrior Project
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Source: HuffPost
Despite its history of controversy and complaints, Spirit continues to be a successful airline. “Spirit is consistently incredibly profitable,” said Madhu Unnikrishnan, editor of Skift Airline Weekly.Spirit Airlines blue paint scheme
Carlos Yudica/Shutterstock
Source: Marker Medium
According to Unnikrishnan, Spirit was never really concerned about the passenger experience. When a customer emailed Baldanza about a bad flight experience, the CEO responded, “Let him tell the world how bad we are. He’s never flown us before anyway and will be back when we save him a penny.”Flying Spirit Airlines from Santa Ana, California to Newark, New Jersey.
Thomas Pallini/Insider
Source: Marker Medium
In 2008, Spirit was the number one airline for customer complaints but still managed to fly five million passengers and achieve a net profit during the recession, making it one of the few carriers to do so.Spirit Airlines boarding door
Thomas Pallini/Insider
Source: Department of Transportation
In 2014, Spirit was the top pick airline for growth for investors, and in 2016, Spirit was the first US carrier to receive the A320neo into its fleet.Spirit Airlines A320neo
Thomas Pallini/Business Insider
Source: The Motley Fool, Airbus
In November 2017, Spirit’s on-time performance ranked second behind Delta. This was a major improvement after coming in dead last among 13 US airlines in 2015.Spirit Airlines
Thomas Pallini/Insider
Source: Skift
In 2019, Spirit introduced its new President and CEO, Ted Christie. During the same year, the airline was operating 600 daily flights to 72 destinations across the US, Mexico, Central America, and the Caribbean.Spirit Airlines in the Caribbean
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Source: Tampa Bay Times
Like every airline, Spirit was hit hard during the coronavirus pandemic, posting a 2020 net loss of $428 million. Nevertheless, Spirit continued to fight back in 2021, expanding operations with new city pairs and new airports.Spirit Airlines passengers during the pandemic
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Source: Statista
However, Spirit’s 2021 full-year earnings revealed its revenue came in at $987.6 million, which was “better than expected” considering the impact of the Omicron variant. The income was 1.8% more than the same time in 2019.Spirit Airlines aircraft
Greg K_ca/Shutterstock
Source: Spirit Airlines
Despite the strong end of the year, Spirit did face operational issues in August 2021. The chaos was due to a mix of poorly timed weather, system outages, and staff shortages.
AP Photo/Eugene Garcia
Source: Insider
While the setback caused outrage from customers and a warning from the DOT, the company’s flight schedule was still growing. On October 6, Spirit reached a major milestone, launching the first of 31 routes from Miami International Airport.Spirit destinations from Miami
Spirit Airlines
Source: Spirit Airlines
Spirit continued to improve into 2022. The carrier has reported strong demand since February and reported a “record-high non-ticket revenue per passenger segment” for the first quarter of 2022. Non-ticket revenue is ancillary fees, like luggage and snacks.
Taylor Rains/Insider
Source: Spirit Airlines
To this day, Spirit has never had an air crash, including during its time as Charter One Airlines. Most impressively, Spirit was the only airline in North America to make the top 10 list for safest airlines in the world in 2018, according to JACDEC data.Spirit Airlines aircraft
Thiago B Trevisan/Shutterstock
Source: JACDEC
The airline ranked 26 in 2019, 23 in 2020, and 30 in 2021, coming in third behind JetBlue and Delta last year.Delta Air Lines at JFK.
Ron Adar/Shutterstock
Source: JACDEC
