Why Wouldn’t F9 and NK Merge?
 

“Home of the Bear Fare”

I think the argument for a merger between Frontier & Spirit seems pretty obvious (e.g. massive ULCC, fleet type commonality, similar contracts, route overlap, etc.). There seems to be a consensus that the trajectory of the industry may lead to more consolidation. All that said, why wouldn’t a merger between Frontier + Spirit happen? I know this is all speculative, but it highlights the differences and potential trajectories of the companies.

It'll probably happen someday but....

Mergers are hard and messy

And when you merge a ton of management jobs get eliminated and management doesn't like getting their jobs eliminated

As with anything, all mergers are about $. If it makes Indigo money (keep in mind that mergers also COST money in the short term), then it will be introduced. If not, then it won't. Simple.

Why join 'em, when you can beat' em

Plenty food on the table for all ULCCs, I think that’s why we’re not merging... yet.

B. Franke said in a speech, quoting Bezos: most people set out to build a small profitable company, but end up with a big unprofitable one... Or something to that effect. I don’t think the powers that be want to be big, they’d rather stay profitable.

it has been stated that if indigo can’t see a positive return on investment within 12 months forget about it.......

If two of ALPA carriers merge, how is seniority list integration typically handled? Is it by date of hire, relative seniority? Considerations for seat position? I don’t know what the precedent or guidance is, especially with mergers of a single fleet type.

The way it would work in this scenario is that all NK pilots would be attached to the F9 seniority list in seniority order below the the most junior F9 pilot. :p

Is that before or after Allegiant buys Frontier?