This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Spirit Airlines Bucks Trends, Plans More Growth

DUBAI TheStreet) -- Spirit (SAVE) CEO Ben Baldanza went to the Dubai Air Show to announce the airline intends to increase its Airbus fleet.

Baldanza said Spirit and Airbus have entered into a non-binding memorandum of understanding, which contemplates an order of 75 Airbus A320 aircraft, including 30 existing models planes and 45 new A320neo aircraft.

Spirit

"Airbus likes to announce new orders at air shows," Baldanza said Tuesday, in an e-mail. "That's why we came here to finalize the order and announce it."

During a press conference in Dubai, Baldanza declared, "Spirit is a very-low-fare airline, and in tough economic times a larger percentage of people look for value, so we do pretty well," according to Bloomberg. "We feel good about Spirit's growth and having a cost advantage over our competition and being able to offer low fares keeps travel moving in tough economic times."

The 75 aircraft would be scheduled for delivery from 2016 through 2021. They have a list price of $6.7 billion. Airbus currently maintains that it will deliver its first A320neo in 2015.

For Airbus, the Spirit announcement, while neither an order nor a symbol of its Middle East presence, enables another positive talking point at the show. The biggest actual orders have come from Emirates Airline, which ordered 50 Boeing (BA) 777s, and from Qatar Airways, which ordered 55 Airbus jets including 50 A-320s.

Fast-growing Spirit, an anomaly in a U.S. aircraft industry that is captivated by capacity management, said the order would supplement its existing orders for 33 aircraft. The planes would be used in its current markets -- the U.S., the Caribbean and Latin America.

Spirit competitor JetBlue (JBLU), which also flies Airbus jets, announced Tuesday that it would boost its presence on the Fort Lauderdale, Fla. - San Juan, Puerto Rico route also served by Spirit. JetBlue said it will offer six flights a day, up from its current four, starting in May 2012.

Spirit has the largest presence of any carrier at Fort Lauderdale-Hollywood International Airport, while JetBlue is second.

JetBlue is rapidly growing its San Juan service. It already serves seven markets, including Boston and New York, and it plans to add four more in the coming months. Daily non-stop flights to St. Maarten will begin Thursday; service to St. Croix and St. Thomas in the Virgin Islands will begin Dec. 12, and service to Hartford will begin Jan. 5, 2012.

-- Written by Ted Reed in Charlotte, N.C.

>To contact the writer of this article, click here: Ted Reed

>To follow the writer on Twitter, go to http://twitter.com/tedreednc.

>To submit a news tip, send an email to: tips@thestreet.com.

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 16,919.59 +80.85 0.48%
S&P 500 1,981.60 +9.86 0.50%
NASDAQ 4,527.5140 +19.2020 0.43%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs