Originally Posted by
LTJ9
I don’t see the comparison to two struggling legacy retailers. If anything that would be more like the US Airways and AA merger. Spirit frontier could be compared to dollar tree buying family dollar, which didn’t work, but I think comparing airlines to retail (that were greatly affected by Amazon) is a lazy take.
The Monthly Fee Statement of Davis Polk & Wardwell shows that they had multiple offers to review at the end of December.
The Viva and Volaris merger is just a hint that indigo and Franke are shaking things up.
Lastly does a 10% cap on credit cards interest hurt legacies enough that basic economy can’t be subsidized to the same degree? Those effects are far off (if it happens at all) but the industry is constantly changing and Franke may still think having a bigger ULCC with low CASM puts you in a position to succeed in the long run.
The 10% cap was on a "truth" post, so that's not exactly a legally binding anything. Second of all, the "truth" post says it is only for one year, so what impact will that have? Third, the Trump admin already scrubbed a Biden policy that limited credit card fees to $8 a month which would have saved American families $10 billion per year, so you can see which side off the aisle Trump is going to side with. I don't think 10% is gonna happen, but I guess we shall see.