So its not a merger with Frontier. Its still just Spirit but with a different owner. This way if it fails Frontier isn't burdened by the debt nor the employee bloat from bringing over all the employees. Indigo could just sell assets to Frontier and not transfer any employees over.

My question is why do the bondholders of Spirit just have the assets go somewhere else and not liquidate them to replay what they are owed?

What will the SLI look like?? I’m gonna get displaced to Siberia or who knows what.

Or even worse, Cleveland.

It will never get that bad

The big question is how F9 handles all of the NK debt. F9 is not rolling in the dough by any means and it gives thought to the Biffle departure from F9. I think F9 is better buying assets than the whole chunk to avoid major strain on the balance sheet. Time will tell and time is not on NKs side. NK really doesn’t have room to negotiate and F9 would essentially be buying a boatload of debt. Still begs the question, why? Is F9 just trying to take a look at the books? Or does F9 want to be strategic about what parts they want to avoid employee integration? Maybe they just want to roll the dice and take it all? We will know shortly. If F9 backs away, I do believe NK liquidates.

it could be a merger, just one on Franke’s timeline. Or Franke could sell off the pieces he wants to Frontier and scrap the rest, including the pilots. Cheaper to hire new pilots on the bottom of our pay scale than it would be to have an SLI and bring guys over at the top. Knowing Franke it’s something he would do. He hasn’t forgotten they went on strike on him and he’s petty enough for pay back. Teach us F9 guys a lesson as we continue our negotiations, too. Yeah, I’m a pessimist this morning.

its going to be a merger and the ALPA Merger Policy will be in full effect. Definitely a better deal for NK guys than current F9 but the good news is no “synergies” reached until JCBA is done

ALPA merger policy is nothing more than a guide. It’s up to each pilot group and the mediators to determine an SLI. Unfortunately NK is negotiating at a disadvantage being in bankruptcy. I can see attrition accelerating even more over there to the point there will be so few pilots it would make sense for Franke to simply sell the assets to F9.

The VAST majority of integrated seniority lists have been created through binding arbitration, which is dictated by ALPA merger policy should a negotiated list prove unattainable. The arbitrators must craft their list within the constraints of merger policy. It is far more than a guide.

Frontier will take the planes but not the pilots. Essentially Frontier will continue its hiring spree of pilots while adding Spirit planes to the operation as quick as they can repaint them. Spirit will be wound down and shutdown at a rate that keeps yellow planes flying while waiting for integration into Frontier. Spirit's CBA, even with the paycuts, needs to be destroyed to keep Frontier a viable business.

Essentially, Frontier will be like a SkyWest but with A321s. Low pay and low benefits.