Spirit Airlines CEO Dave Davis announced plans to cut jobs and reduce schedules in November, following the airline’s second bankruptcy in less than a year. The carrier will see a 25% capacity cut as it focuses on its strongest markets, negotiating with vendors and lessors to optimize its fleet size. This move aims to stabilize the struggling airline amid financial challenges.

Spirit Airlines has already furloughed and demoted hundreds of pilots, with flight attendants preparing for potential changes to their collective bargaining agreement. The airline is set to meet with union leaders in the forthcoming weeks as it navigates through its financial difficulties. Spirit’s failed acquisition and high costs have led to increased competition and financial instability.

After emerging from bankruptcy in March, Spirit has faced persistently higher costs and weaker than expected demand, resulting in losses of nearly $257 million from March to June. The airline recently announced flight cuts to 11 destinations and the cancellation of a planned 12th destination. Competitors like United Airlines, Frontier Airlines, and JetBlue Airways are capitalizing on Spirit’s challenges by expanding their own flight offerings.

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1. The latest jobs report showed that the US economy added 943,000 jobs in July, exceeding economists’ expectations. The unemployment rate also dropped to 5.4%, down from 5.9% in June.

2. Apple became the first company to reach a $3 trillion market cap, with its stock price hitting a record high of $175.

3. The CDC announced that fully vaccinated individuals should continue wearing masks indoors in areas with high Covid-19 transmission rates, due to the spread of the Delta variant.

4. Tesla reported record revenue of $11.96 billion in the second quarter, driven by strong demand for its electric vehicles. The company delivered 201,250 vehicles during the quarter, also a record.: Spirit CEO says airline will slash flights, could cut jobs