Two Leisure Airlines Walk Into a Merger

Remember mad libs? This is the airline merger version of that, as Allegiant and Sun Country announced Sunday they intend to merge and combine their two airlines into a synergy-filled ULCC orgy that will have the Appleton – Fort Myers market on lockdown. Famously, the two carriers overlap on basically nothing — except that oft-traveled ATW-RSW corridor — which when combined with the current administration in the White House make this one likely to easily pass DOJ muster.

When the deal eventually happens, it will be Allegiant and its brand that survives the tie up. Allegiant CEO Greg Anderson and president BJ Neal will keep their jobs, while Sun Country CEO Jude Bricker will be given a mobile office in seat 27E on a Sun Country B737 and will go wherever the wind takes him. Sun Country shareholders will receive a 20% premium on their stock price along with a BOGO coupon for a $12 coke bottle at Allegiant Stadium in Las Vegas when the deal closes.

For more on the merger that rocked the aviation world, please visit Monday’s post at crankyflier.com.

Delta’s 2025 Bottom Line Keeps Climbing

Good Went Around in Delta’s accounting department last year, as the carrier posted its full-year 2025 results this week and boasted a nearly-$6 billion profit for the year after posting a $1.5 billion profit for Q4. Delta ended the year with operating revenue of $63.4 billion — of which only $63 billion came from American Express. Delta did miss a record revenue figure, which it says is because of the economic uncertainty from the government shutdown during the fall (and Crowdstrike, we’re sure), but projects one next year.

For the first time in its history, Q4 this year saw premium class revenue outdo economy for a full quarter. Premium travel (including Delta One, First Class, Delta Premium Select, and Comfort Plus) brought in $5.70 billion in revenue (up from $5.22 billion last year) while economy class (Main Cabin and below) saw $5.62 billion in revenue (down from $6.05 billion last year).

Looking forward, Delta expects its stock to earn between $6.50 and $7.50 during 2026. It expects Q1 revenue to increase 5-7% from Q1 in ’25, with an earnings per share between $0.50 and $0.90. Delta closed the calendar year with $4.6 billion in cash, $8.3 billion in operating cash flow, and Biscoffs as far as the eye can see.

United Shakes Up Loyalty Team

United Airlines made a handful of changes to its MileagePlus leadership team this week, as the carrier named Jarad Fisher the new president of the loyalty program. Fisher comes to UA from previous stints at both Apple and Delta. Highlights of his time in those roles include a primary role in the launch of Apple Card — Apple’s credit card product — and deepening Delta’s indentured servitude partnership with American Express.

Every action must have an equal and opposite reaction — and that’s the case here as well. Current MileagePlus CEO Richard Nunn and President Luc Bondar will be leaving United shortly after being IDB‘d from their roles.

But as they say on late-night infomercials (are those still a thing?), “but wait, there’s more!” United is bringing Vasu Raja on-board as a consultant for its Kinective Media network, which is designed to monetize its MileagePlus membership beyond just credit cards. You might remember Raja from previously starring roles in “being the sole reason (or scapegoat, depending on your perspective) for the fall of the entire American Airlines empire,” and in “creator of the strategy that erased a once-proud sales organization and angered thousands.”

Raja was forced out of AA two years ago, but his new company Dihedral looks like it does exactly what United needs, so this may be a match made in heaven. Reports saya Vasu was seen checking out long-term stay options at the HoJo next to Newark, so he could be in this for the long-haul. Stay tuned.

Delta’s Dream is Closer to Reality

Glowing financials weren’t Delta’s only announcement on Tuesday. The carrier also shared that it placed an order for 30 B787-10 Dreamliners with an option for another 30. The 787-10 is Boeing’s largest offering of the 787, capable of carrying up to 336 passengers, flying as many as 6,330 nm and has enough storage for two tons worth of Biscoffs at a time.

Delta also said it would use GE engines for the planes, passing on Rolls Royce because its sales team kept bringing them hot tea in small porcelain mugs instead of cold tea loaded down with sugar and ice as God intended.

The Dreamliners will replace Delta’s aging B767-400ER fleet, many of which are old enough to have voted in several presidential elections at this point. With this order, Delta now has 232 narrowbody and 54 widebody airplanes on order.

United Adds a Baker’s Dozen Plus One

United Airlines is adding 14 new routes including five that will operate daily and nine summer-only additions. Houston/IAH to Hartford (begins May 21), Denver to Albany (begins April 30), and Los Angeles to Columbus (March 29), Pittsburgh (March 29), and Kansas City (April 6) are the new flights that will operate daily. United will be alone in operating IAH-BDL, Southwest operates Denver – Albany seasonally, and it will compete with AA on LAX-PIT and LAX-CMH, and both Delta and Southwest on LAX-MCI.

Everything else is Saturday only, summer-seasonal additions including:

• Chicago/ORD: Cody (ORD-COD on Friday, COD-ORD on Saturday)
• Denver: Bangor, Chattanooga
• Houston/IAH: Burlington, Spokane
• Los Angeles: Portland (ME)
• San Francisco: Portland (ME)
• Washington/Dulles: Halifax, Québec City

It’s good to see the dartboard is still in active use over at Willis Tower.

• Aerolineas Argentinas is adding 2x weekly service from Córdoba to Miami beginning in June. It’s also adding six World Cup flights this summer from Buenos Aires/EZE, operating four times to Dallas/DFW and twice to Kansas City.
• Air Canada has a new PAL.
• Air France has a new partnership with Apple TV for in-flight entertainment on long haul flights. Or as its known in France, Pomme TV.
• Air Serbia‘s 8th destination in Spain will be Alicante.
• Azul may be feeling blue, but it’s raking in the green as it completed a $2.7 billion capital raise.
• Copa is returning to Venezuela.
• Croatia Airlines will end its A320 operations next month.
• El Al will have Levy Halevy take over as CEO on January 21.
• Emirates is adding flights to Helsinki. Daily, non-stop service will operate year-round beginning October 1.
• Etihad broke a company record with 22.4 million passengers in 2025.
• EVA will begin non-stop 4x weekly service from Taipei to Washington/Dulles.
• IndiGo will begin flying nonstop between Delhi and London/Heathrow on February 2.
• Korean is opening a new lounge at Seoul/ICN’s T2 that will come complete with its own Ramyeon library. Noodles for everyone.
• Lufthansa Group will add Starlink to all 850 of its airplanes this year.
• Ryanair will not be adding Starlink to its aircraft. Instead it will offer a new dial-up service that will connect you to America Online at 28.8 mbps for £9.99 per minute. For more information on how to get a CD to sign up, please call or e-mail CEO Michael O’Leary. You can tell him Cranky sent you.
• United will now let you pre-order meals in economy class, so you at least know what it is that’ll be bland and underwhelming ahead of time instead of having to decide on the spot while the cart makes its way to you.
• Wizz Air has a new premium offering, with an empty middle seat, free soft drink and snack being offered on select routes.
• Virgin Atlantic completed a sale-and-leaseback on six A330-900neos that haven’t yet been delivered.

Hiking in your 40s is a great way to meet new people.

Today I met two paramedics, three nurses, a cardiologist and nearly met my maker.