Spirit Wins Approval to Auction 22 LaGuardia Flights Valued at Up to $87 Million
Updated
Updated · The New York Times · Jun 17
Spirit Wins Approval to Auction 22 LaGuardia Flights Valued at Up to $87 Million
2 articles · Updated · The New York Times · Jun 17
Summary
A bankruptcy judge last week cleared Spirit Airlines to solicit bids for 22 daily LaGuardia flights, its Florida headquarters and other assets as the carrier is wound down.
Up to $87 million could come from the LaGuardia slots alone, according to Spirit’s April bankruptcy filing, though planes, engines and parts are expected to raise more for creditors, employees and other claimants.
The sale faces regulatory friction because the Port Authority wants a say over any transfer and the FAA wants Spirit replaced by another budget carrier.
LaGuardia access is lucrative but costly, leaving uncertainty over whether smaller low-fare airlines will bid aggressively for one of the New York area airport’s scarce positions.