Spirit Airlines CEO says the proposed acquisition with Frontier Air would ‘lower fares for consumers by nearly $1,000,000,000 annually.’ Joining Yahoo Finance on June 29, 2022, the CEO also broke down further details of the bidding war between JetBlue and Frontier.
TED CHRISTIE: We're really excited about this deal with Frontier. This is an opportunity that's unique in the aviation space where we're going to put together to really powerful ULCCs. Both of those companies today serve at the lowest fare.
So it's a very pro-competitive story for consumers. We think, in fact, by combining the business, we're going to create a more powerful competitor to the big four airlines that'll actually drive as much as $1 billion annually in fare savings for our consumers. There's also a good synergy story here for our shareholders and a very positive story for team members, creating nearly 10,000 jobs over the next five years. So a really positive deal in a difficult market but a way for us to create a more viable competitor in the US. We're interested in delivering real value to our shareholders. We think our deal with Frontier can do that and benefit the consumer, and we have real concerns about a combination with JetBlue and what that might mean for the consuming public and, for that reason, be a very difficult regulatory narrative.