Budget flight carrier Spirit Aviation Holdings Inc.
A Shift To Focus On Spirit's Strongest Markets
The reduction comes as CEO Dave Davis, in an internal document obtained by CNBC on Wednesday, said that the company will cut capacity to focus on the airline's strongest markets. "These evaluations will inevitably affect the size of our teams as we become a more efficient airline," Davis said in the document.
Spirit did not immediately respond to Benzinga's request for comment.
The airline also stated in the report, saying that it was in talks with labor unions about potential job cuts. Some pilots have reportedly taken voluntary unpaid leave, the report says. The airline recently also announced furloughs and demotions of its pilots.
Spirit Airlines Files For Bankruptcy
The news comes as the low-cost carrier recently filed for bankruptcy for a second time this year, following continued financial woes as the stock tanked. The company says it aims to shrink its fleet and projected a $257 million loss in June this year. Spirit has already maxed out its $275 million credit facility, with creditors demanding additional collateral.
Spirit had emerged from its first bankruptcy, filed in March as the carrier converted the approximately $800 million debt into equity. However, it remained burdened with around $2 billion in debt and aircraft leasing expenses.
United Airlines Emergency Landing
Elsewhere, pilots operating a United Airlines Holdings Inc.
