Thanks; kind of figured something like that. Just keep in mind that Wall Street financing is not guaranteed. I've seen them pull financing more than a few times, especially during economic turmoil.

Any idea on what the holdup is on Spirit's end to accepting JetBlue's offer?

Probably talking to Indigo. Ha.

Almost assuredly. They sure as sh*t aren’t running an airline.

I believe the offer leaked before they intended it to, and they wanted more time to look it over. There’s a town hall on Friday. Maybe more info then.

Townhall is tomorrow

Spirit actually entered a merger agreement with Frontier. The JetBlue offer is an unsolicited offer, that sorta derails the original agreement. Probably adds to the timeframe to work through that red tape, above and beyond just evaluating the offer. Wouldn't be surprised also if Frontier is either negotiating a better offer or just making Spirit go through EVERY legal hurdle the agreement requires before formally releasing them from the agreement.

My opinion is Spirit management probably had some sweetheart deals either in writing or informally about positions post merger with Frontier and most likely prefers not to take the "other" offer, but they don't have a choice but to take the final offer that has the highest shareholder value, or risk legal action by large shareholders.

We all want to know how this ends...

Yep. Biggest shareholder is The Vanguard Group, with about a quarter billion worth of stock. Also in the top ten, fidelity and invesco. These mutual fund companies have more lawyers and accountants than NK does and they didn’t get that way by allowing boards of directors to skim off shareholder with sweetheart deals.

I’m probably completely wrong but wouldnt investment groups or funds prefer a long term play vs a payout? This is assuming Frontier ups the offer some.

Meh. Maybe...

It kinda depends on how the investment fund/group views their investment. Capital appreciation versus ongoing income/dividends. I would think that SAVE would be held for capital appreciation. That's why I own it in my personal account. I plan to sell when the stock price reaches a certain level, not hold longterm for quarterly dividends.

I'm far from being an expert in investing (or I wouldn't be an airline pilot ) so I'm probably full of crap, but I wouldn't count on the bigger shareholders holding out for longterm profits.

Yep you’re right I think. They own a bunch because they bought low and will sell when it reaches a certain level. Didn’t think about it that way.

In Vanguard Group's case, they already own Frontier stock. If they got more Frontier stock, that may cause them to sell some stock in order to not be overweight in any single stock.