AP

Spirit Air engages with JetBlue ahead of shareholder vote

Jun 14, 2022, 7:54 AM | Updated: 9:22 am

NEW YORK (AP) — Spirit Airlines, the target of a budget airline bidding war, said Tuesday that its board has been in talks with JetBlue about last week’s buyout offer while remaining engaged with Frontier Airlines, with which Spirit has already reached a merger agreement.

Spirit said that its board expects to give shareholders an update before they vote on the Frontier offer at a June 30 special meeting. Spirit said it has given JetBlue and Frontier the same access to information — JetBlue’s CEO had claimed that Spirit failed to provide his airline with the same information it shared with Frontier.

JetBlue has offered more in cash than Colorado-based Frontier’s stock and cash bid, but Spirit’s board has rebuffed JetBlue, saying that any such tie-up would face a greater likelihood of being shot down by federal antitrust regulators largely because of JetBlue’s alliance with American Airlines in the Northeast.

The bidding war for Miramar, Florida-based Spirit has heated up in the past month, with JetBlue attempting to allay concerns that the U.S. would block its acquisition.

The New York airline last week offered a $350 million reverse break-up fee payable to Spirit if a deal between the two isn’t completed for antitrust reasons, topping its previous contingency plan by $150 million.

Last month, JetBlue went hostile in its attempt to buy Spirit, taking its offer directly to shareholders of the airline. Spirit CEO Ted Christie has said that JetBlue is more interested in breaking up a deal with Frontier than it is in owning Spirit.

Both JetBlue and Frontier say growing by acquiring Spirit would help them compete against the nation’s four dominant airlines: American, Delta, United and Southwest.

Copyright © The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

AP

Colorado River settlement center of new Navajo Nation push...

Associated Press

Tribes say their future is at stake as they push for Congress to consider Colorado River settlement

Navajo officials are celebrating the signing of legislation outlining a proposed Colorado River settlement that would ensure water rights.

3 days ago

Arizona doctors California abortions...

Associated Press

Arizona doctors can come to California to perform abortions under new law signed by Gov. Newsom

Arizona doctors can temporarily come to California to perform abortions for their patients under a new law signed by Gov. Gavin Newsom.

3 days ago

Father convicted of first-degree murder in northern Arizona...

Associated Press

Arizona man convicted of first-degree murder in starvation death of 6-year-old son

A northern Arizona father was convicted of first-degree murder Thursday in the 2020 starvation death of his 6-year-old son.

4 days ago

Former President Donald Trump sits in a courtroom next to his lawyer Todd Blanche before the start ...

Associated Press

Trump hush money trial enters new phase after defense rests without testimony from former president

Donald Trump's hush money trial is now closer to the moment when the jury will begin deciding the former president's fate.

5 days ago

UoA student convicted of first-degree murder after killing professor...

Associated Press

Former Arizona grad student convicted of first-degree murder in 2022 shooting of professor

A former University of Arizona grad student was convicted of first-degree murder after fatally shooting a professor on campus two years ago.

6 days ago

Rudy Giuliani bankruptcy filing defamation lawsuit...

Associated Press

Ex-NYC Mayor Rudy Giuliani, Arizona’s Kelli Ward plead not guilty in fake elector case

Giuliani appeared remotely for the arraignment that was held in a Phoenix courtroom. His trial will take place in October.

6 days ago

Sponsored Articles

...

Day & Night Air Conditioning, Heating and Plumbing

Beat the heat, ensure your AC unit is summer-ready

With temperatures starting to rise across the Valley, now is a great time to be sure your AC unit is ready to withstand the sweltering summer heat.

...

COLLINS COMFORT MASTERS

Here are 5 things Arizona residents need to know about their HVAC system

It's warming back up in the Valley, which means it's time to think about your air conditioning system's preparedness for summer.

...

Day & Night Air Conditioning, Heating and Plumbing

Day & Night is looking for the oldest AC in the Valley

Does your air conditioner make weird noises or a burning smell when it starts? If so, you may be due for an AC unit replacement.

Spirit Air engages with JetBlue ahead of shareholder vote