In an attempt to boost liquidity, Spirit Airlines said Monday that it will furlough 260 pilots and delay deliveries of new Airbus plans. The planes were scheduled to be delivered in 2025 and 2026, but will now arrive in 2030 and 2031, while the pilot furloughs will occur in September.
The deferrals exclude direct-lease planes, as well as deliveries scheduled between 2027 and 2029. The plan is expected to increase liquidity over the next two years by around $340 million.
“Deferring these aircraft gives us the opportunity to reset the business and focus on the core airline while we adjust to changes in the competitive environment,” said CEO Ted Christie in a news release.
A number of Spirit’s Airbus planes have been grounded due to an engine recall, though the company will receive compensation A proposed deal for Spirit to be acquired by JetBlue Airways disintegrated earlier this year after a federal judge ruled it would be anti-competitive.
