Spirit Airlines Leases More Jets to Accelerate Growth
Over the past decade, Spirit Airlines (NYSE: SAVE) has grown faster than nearly any other airline in North America. The carrier operated just 37 aircraft at the end of 2011. By the end of 2021, Spirit will have 173 jets in its fleet.
The first few years of Spirit's rapid growth paid off handsomely for shareholders. Since then, though, the airline has struggled to protect its margins and operational reliability while growing rapidly. Nevertheless, Spirit Airlines recently doubled down on its plans to expand capacity at a double-digit annual rate by signing lease deals for additional Airbus (OTC: EADSY) aircraft.
Several years ago, Spirit Airlines began a thorough fleet review to decide whether to continue operating exclusively Airbus A320-family aircraft or add a second fleet type. In late 2019, the budget airline finally decided to stick with Airbus, signing a deal to buy 100 A320neo-family jets.
Source Fool.com