Spirit Airlines revealed on August 16 that the cancellation of 2,800 flights that occurred over a 11-day period cost the company about $50million in lost revenue and caused spending to 'literally' soar.
The airline said the service meltdown that started in late July and a rise in COVID-19 cases are causing more last-minute cancellations and softer bookings.
Spirit said that it will reduce flights - it called the moves 'tactical schedule reductions'- for the rest of the quarter, which ends September 30.
With all the cancellations, and now fewer flights for the next six weeks, Spirit estimated that its third-quarter revenue will range between $885million and $955million, or 4% to 11% below the same quarter in pre-pandemic 2019.
Spirit said the cancellation of more than 2,800 flights over an 11-day stretch this summer cost the budget airline about $50 million in lost revenue and caused spending to soar on August 16
Spirit's cancellation numbers have returned to more normal levels. However, the airline said that recovering from the crisis caused expenses to climb.
The airline said it paid to put some stranded passengers on flights operated by other airlines, and covered their hotel stays. It also incurred higher labor costs, such as overtime.
Spirit forecast that its third-quarter operating expenses will be slightly above $1billion - an increase of up to 20% over the third quarter of 2019.
The Miramar, Florida-based airline made the disclosures in a regulatory filing after the stock market closed Monday.
The airline's shares fell more than 2% in after-market trading.
Spirit said it canceled 2,826 flights from July 30 through August 9 as it dealt with 'overlapping challenges' including bad weather, airport staffing shortages and crews being stranded far from their assigned flights.
On some days during that stretch, the cancellations amounted to more than 60% of the airline's schedule.
CEO Ted Christie apologized for the disruptions, which affected tens of thousands of customers around the country, while portraying them as out of character for the airline.
'We believe the interruption was a singular event driven by an unprecedented confluence of factors and does not reflect systemic issues,' Christie said.
He said Spirit has made investments 'to be one of the most efficient and reliable airlines in the U.S. industry' and is taking steps 'to make sure we maintain that standard.'
Spirit CEO Ted Christie apologized for the inconvenience the airline caused as it affected tens of thousands of people around the country
In recent years, Spirit has scored in the middle of the pack or better for on-time arrivals, as tracked by the federal government. It was third-best last year, behind only Hawaiian Airlines and Delta Air Lines.
However, Spirit has struggled with a high rate of consumer complaints for many years.
In 2019, it had the highest rate of complaints among 16 airlines in rankings compiled by the Transportation Department.
However, it improved to 12th out of 16 last year.
Earlier this month, Spirit received a massive string of complaints after flights were being continuously canceled, including some on social media.
One user tweeted: 'So my @SpiritAirlines cancelled my flight for tomorrow, and with that, those flights of my party of 9 passengers a youth team heading to Ultimate Frisbee Nationals in Minnesota.
'There's something ironic that we won't be taking Spirit to an Ultimate Tournament.'
Another user said: '@JeffBezos Please buy Spirit Airlines, so I can get to my destinations as fast as I get my packages! @SpiritAirlines I had to borrow 700.00 I don't have for a flight all because you failed to let me @ know in time of the cancellation.'
Spirit Airlines has received the highest number of complaints among 16 other airlines according to a 2019 ranking compiled by the Transportation Department
Angered customers took to social media to express their distaste for Spirit after their flights were unexpectedly cancelled
Other horror stories include those of seven months-pregnant Robin Wilson, who on Wednesday was left to fend for herself.
Wilson's intended flight from Cleveland to Atlanta was rerouted to LA. She was told by Spirit that she'd have to wait four days for the next flight, but Wilson did not have the funds to book a hotel to stay in.
She faced spending four days 'living' in the terminal of Los Angeles International Airport, and was only put up in a hotel when FOX 11 reported her story, and shamed Spirit into providing the 'high risk' passenger with accommodation.
'I definitely don't have a flight out from LAX to Cleveland until Thursday. [I have] no accommodations at all…I'm seven months pregnant, I'm high-risk,' Wilson told the network before her issue was resolved.
Brenda Deleon told DailyMail.com how her family's eight day vacation to Puerto Rico had to be extended by two days - at a cost of $1,000 - because of Spirit.
After receiving notification of a cancellation late Tuesday night, Deleon tried to contact Spirit customer service but wasn't able to speak with someone.
'I called last night and was on hold for 42 minutes, but figured they were closed. This morning I went to the airport to talk to someone but the Spirit kiosk was empty,' she said.
Deleon called the airlines 1-800 again on Wednesday and was able to rebooked their family's flights for Friday at 2.50am. But, they still faced issues with accommodations.
'Our AirBnb was booked tonight so we looked for another home for $478.41 and two days of car rental for $342.34,' she said.
'[Spirit said] they will refund only half of what trip costs which is not an option since prices with other airlines skyrocketed. We have to wait it out.'
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