A Norwegian LLC is set to become the first flying the 787 if I am not mistaken. They already have the plane and the approval. Seats as low as $200. You can't beat that! The LLC market is definitely going towards long haul flights. It's a proven formula already in Australia and Asia with JetStar.

 

Reason for 8% drop in stock today I guess

Spirit Shares Plunge, Revenue From Fees Slows In Q3 - Investors.com

Spirit Airlines (SAVE) earnings took flight and topped estimates, but fee revenue from amenities didn't grow as fast as it did a year ago and shares plunged Wednesday.

The budget airline's third-quarter earnings more than doubled to 79 cents per share from 35 cents. Analysts polled by Thomson Reuters were expecting 74 cents per share.

Revenue jumped 33.4% to $456.6 million, topping estimates for $452.57 million. Passenger revenue revenue rose 38% to $279.5 million.

View Enlarged Image

Total revenue per available seat mile, an important metric in the airline industry, rose 8.9% to 12.55 cents as the load factor widened to 89.1%.

The average ticket revenue per passenger flight segment rose 15.3%, reversing a 12% decline a year ago. But the average non-ticket revenue per passenger flight segment rose 5.4% vs. a 11.5% gain in Q3 2012.

Spirit offers extremely low fares but then charges extra for everything from a carry-on bag to printing out a boarding pass at the airport.

The airline charges $25 for a carry-on bag when booking the flight, but the fee goes up to $50 when checking in at the airport. The first checked bag costs $20 and goes up to $45 at the airport.

Fees for what used to be free amenities have become a major source of revenue for airlines. In 2012, the 15 largest carriers collected $3.5 billion in baggage fees, a 3.8% increase from 2011.

Read More At Investor's Business Daily: Spirit Shares Plunge, Revenue From Fees Slows In Q3 - Investors.com
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LLC? Limited Liability Corporation?
or
LCC? Low Cost Carrier?

 

great numbers indeed.

this has been mentioned before but painting "no debt" as either positive or negative is misleading. just forget about it.

company chooses sale & leaseback over owning the planes.
implication is that its not reported as debt but as leasing expenses.
its not an accounting trick, just a financing choice.

company acknowledges the leases as long term obligations, like any other airline. (see 2013 investor day presentation for details, page 40 shows $1.1billion of estimated lease obligations. thats a rough debt equivalent).

 

Good catch ahah

It's actually Norwegian Air Shuttle. It's the third largest LCC in Europe. It's planning to start long haul flights between Europe and the US in May. FLL will be one of their destination.

 

Hey Spirit guys, honest question, since we may be going through it soon. The Spirit IPO, wasn't that after the new contract '10? What did the pilots get as far as percentage or share, and how was it broken down (methodology)?

 

And Shy throws a flash bang into the room...

 

Do you run in with the Kriss Vector or focus on the door with the Dragunov?

 

I'm sure that the non unionized carrier, that is Virgin America, will reward its pilots handsomely

 

Well, he did say "Honest Question", so here is the answer, "nothing", but you already knew that, that's my "Honest Opinion".