Spirit(Oaktree/Indigo) buys Air Jamaica

600rvr

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http://finance.yahoo.com/news/Report-Spirit-Airlines-buys-apf-243447222.html?x=0&.v=1

SAN JUAN, Puerto Rico (AP) -- Discount carrier Spirit Airlines has reportedly acquired Air Jamaica in a government-led effort to privatize the island's money-losing national airline. The Jamaica Gleaner newspaper says a deal was reached after a committee charged with the airline's privatization submitted its report. The newspaper cites unnamed government sources. Spirit spokeswoman Misty Pinson was contacted by The Associated Press on Saturday and refuses to comment. Prime Minister Bruce Golding has said Air Jamaica was losing $141 million a year.
Spirit is privately owned and flies to 36 cities in the U.S., Latin America and the Caribbean.
 

NEDude

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Heard rumors this would be coming, just with a different buyer...
 

clickclickboom

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Kind of saw it coming from jb with the recent stock offering.. I heard that the price it was worth vs just growing our operation was less than they wanted.


Lets look into the crystal ball anybody have any ideas
 

HalinTexas

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Wow. Last I heard a Chinese group was looking at them. Good luck with that, Spirit.
 

johnsonrod

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Watch everyone at Spirit bid for the Kingston base. Your money can go further there than in Detroit...

One problem with Air Jamaica is that it is basically a jobs program for the government. It would be worse if the Jamaican employees actually earned more than minimum wage (they are dirt cheap).

This is somewhat surprising because the competition has been heating up in Jamaica recently with JetBlue jumping into the mix. I would think that would place even greater pressure on yields for the national airline. Perhaps the Jamaican government paid Spirit and its investor partners to take it off their hands...
 

Headfake14

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Anonymous2

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JM has been killing the jamaican taxpayers for decades. The only reason JM is still around today is national pride. The government of jamaica just couldn't handle this financial burden anymore. So here come spirit airlines as the knight in shining armor. I hope everything turns out ok for you all at Spirit. A u.s. airline merging with an international carrier, who know's what's next. Hopefully its a warm reception from the jamaican side of things, including the jamaican passengers.
 

huncowboy

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JM has been killing the jamaican taxpayers for decades. The only reason JM is still around today is national pride. The government of jamaica just couldn't handle this financial burden anymore. So here come spirit airlines as the knight in shining armor. I hope everything turns out ok for you all at Spirit. A u.s. airline merging with an international carrier, who know's what's next. Hopefully its a warm reception from the jamaican side of things, including the jamaican passengers.
Why would Spirit merge? Anyways for now it seems this deal is not final still.
 

cmrflyer

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Foreign ownership? There should be a law against that!
oh, thats right, no body cares, as long as it hapens outside america.
 

RemoveB4Flght

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I think some of you are confusing Spirit with the investment group that owns us, who already own many other airlines around the world that employ Spirits core ULCC business model.

If the deal goes through, there may not be any form of 'merging' the two companies other than a basic code share... the tricky part would be the overlapping routes.

The bottom line is Indigo does not care which pilot group is at the controls, as long as the route is profitable and the money finds its way back to them.
 

Mike man

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Foreign ownership? There should be a law against that!
oh, that's right, no body cares, as long as it happens outside America.
Clearly America does not care either.
 

enigma

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JM has been killing the jamaican taxpayers for decades. The only reason JM is still around today is national pride. The government of jamaica just couldn't handle this financial burden anymore. So here come spirit airlines as the knight in shining armor. I hope everything turns out ok for you all at Spirit. A u.s. airline merging with an international carrier, who know's what's next. Hopefully its a warm reception from the jamaican side of things, including the jamaican passengers.
Spirit already gets a warm welcome from Jamaican pax. We fly full birds from Kingston and MoBay everyday and those pax are happy for the ride.

I will miss the M/X meet and greet from the AirJ techs, because assuredly after Indigo buys AirJ, those A&P's will get outsourced. Probably to Freds Blue Sunglass, Weed and Maintenance Emporium.
 
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