From CNBC: 2024-08-30 07:30:01

Airlines shift focus from buying new jets to saving money in the face of engine repairs and financial challenges. Lower fares and deferred aircraft deliveries are noticeable trends for airlines like Spirit, JetBlue, and Frontier. These carriers are working to improve profitability and reduce costs amidst a challenging market.

JetBlue is deferring the delivery of 44 Airbus A321 planes to save $3 billion. Spirit Airlines, hampered by deep losses, has deferred all Airbus planes on order until at least 2030. Despite these moves, aircraft leasing rates remain high, reflecting the scarce supply of new fuel-efficient planes.

Airbus and Boeing struggle with supply chain issues, skilled worker shortages, and a post-Covid hangover affecting output. Airbus cut its delivery target while Boeing addresses a safety crisis. The demand for A320 family planes remains strong with thousands of unfilled orders, highlighting the ongoing strain felt by airlines due to delayed deliveries and growth challenges.



Read more at CNBC: Where are low-cost airlines cutting back now? New planes