Spirit Airlines stock jumps 25% after struggling budget carrier said it will sell planes, cut jobs

[mahatmakanejeeves]

Source: CNBC

Airlines
Spirit Airlines stock jumps 25% after struggling budget carrier said it will sell planes, cut jobs

Published Fri, Oct 25 202410:40 AM EDT * Updated 28 Min Ago
Leslie Josephs
@lesliejosephs

Key Points
* Spirit Airlines plans to cut jobs, sell planes and shrink its footprint next year.
* The budget carrier is struggling from the fallout of a scuttled acquisition, an engine recall and an oversupplied U.S. market
* Spirit shares are still down about 80% this year.

Spirit Airlines shares surged after the struggling budget carrier said it would cut jobs and sell aircraft.

The carrier late Thursday laid out a plan to reduce costs and raise cash by selling 23 older Airbus aircraft. That sale will bring in $519 million, Spirit said in a securities filing.

It also said it will reduce costs by about $80 million, mostly through job cuts.

Last week the airline again delayed a deadline to refinance more than $1 billion in debt until late December, giving it breathing room with its credit card processor.

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Read more: https://www.cnbc.com/2024/10/25/spirit-airlines-stock-sell-planes-cut-jobs.html

[ck4829]

1. "Sorry that you lost your job, now clear out, I need to get to the party for our stock rallying"

[Doc Sportello]

2. And ... about those onboard rats

At the 2:50 Mark.

[SpankMe]

3. Perverse

Laying off staff. Selling planes. Cutting routes. A company signaling that it is poorly run and that its failure may be pending actually sees a buying binge that raises the stock price. WTF?

[ArkansasDemocrat1]

4. Dead cat bounce

Getting something before the bankruptcy.