Originally Posted by
Flynn
Here’s an interesting article referencing the price war between United and Spirit in 2017. It didn’t go very well for Spirit:
https://finance.yahoo.com/news/spiri...72000885.html;
The article sums up that Spirit investors shouldn’t worry as United’s growth announcement won’t directly affect Spirit due to United’s growth being largely outside of Spirit’s market.
-Interestingly the article was written by the Motley Fool who seem to have something against United.
Even with NAI, ME3, ULCCs, etc United has made over $10B in profits in the last 3 years. Also 50+ brand new fuel efficient 787s, 777s, 737 MAX all coming on line in 2018 and 2019, hubs being rebanked, more connecting traffic through hubs, its only getting better for United and its pilots.
Spirit pilots getting 40% raise. So much for them being ULCC.
Its even better that we have a contract negotiation open during record profits and massive tax cuts for corporations. United has so much money now its buying back it own stock, which can always be sold later to generate cash if needed.
I'm not worried one bit about United.