Tuesday, January 12, 2021

SAVE stock: Why Spirit Airlines Is Struggling

 Here is the link. 

Spirit Airlines, the no-frills carrier known for its bright yellow planes, brash style and low fares, has helped revolutionize the way we pay for travel. To offset its bare bones fares the carrier charges for everything from carry-on bags to bottles of water. As of 2019 Spirit Airlines had 13 consecutive years of profitability. But the airline that travelers love to hate has fallen on tough times. With the coronavirus pandemic causing passenger traffic to plummet Spirit announced third quarter 2020 total operating revenue of $402 million, a 60 percent drop from a year earlier. To keep passengers safe and onboard Spirit requires face coverings for passengers and crew, uses foggers to disinfect the aircraft and has waived some change fees. But is it enough? And will Spirit Airlines be able to bounce back from the economic fallout battering the airline industry?

No comments:

Post a Comment