This is certainly the clearest, most easy-to-understand, and most informative financial story about the aviation industry that I have ever heard. "I barely finished high school." OK, Kelsey, but you did a really nice job with this.

The Spirit “in flight entertainment…boxing” was one of the funniest things Kelsey has ever said 😂😂

Haven't flown Spirit yet but their pioneering approach to live inflight entertainment is certainly intriguing!

I love how you call yourself "not very smart" and yet you understand all the aerodynamics you need to be a pilot and very skillfully explain the economics of the airline industry... I don't buy the dumb pilot. I find a lot of your videos very educational. Keep it up. Plus I loved the "boxing" on Spirit Airlines, very funny!

As a big fan of your self-deprecating humor, I think "barely finished high school" is one of your funniest lines ever! That sounds like a degree in aeronautics from MIT to me!

Kelsey, don't sell yourself short; your vlogs are very informative, easy to understand and provide a wonderful background for air travelers and fans.

Omg, those fighting scenes had me in tears!! In-"fight" entertainment.🥊🥊

"In-flight boxing".....I laughed my ass off.😆

Ive flown Spirit legitimately 100+ times and have NEVER had an issue except ONE 45 min delay bc one of the flight attendants overslept. I love spirit bc they're cheap and im 6'9 and their extra legroom seats are more comfortable than Delta/American. Id be bummed for sure. I have a Delta plat card and still fly Spirit majority of the time lmao

Kelsey, the employees at Spirit who were super nice to you were hoping to use you as a contact when they apply somewhere else. 😂

As a jetBlue pilot and someone who has been present to watch the trial in person, I believe you did a great job with this video. You nailed everything and explained it well in plain language

Kelsey, I’ve watched you from your first vlog. I’m a CPA with 45 years in the business. Your grasp of financial statements and business concepts is way better than some of the CPA’s I know. Keep the blue side up!

Merger is never good for the boots on the ground while management gets the golden parachutes.

As someone who is currently time building to get to my ATP, I appreciate these videos and am absolutely using them to help make better decisions on who I decide to try and work for. Thanks Kelsey!

Your Spirit entertainment explanation......... TOP NOTCH 🤣 Great info, thanks for the time you put into as well. Safe travels

This is a good one, Kelsey. You are very understandable and articulate on this very complicated subject. I would enjoy seeing you throw a few more like these out there from time to time. BTW, your content editor that you hired is absolutely killing it.

3:53 Reminds me of the recent telecom merger in Canada, where Rogers and Shaw were intending to merge, and they claimed it would be BETTER for consumers because there would be more competition (yes, they actually said that - they think we're stupid). The government said, "Well, OK, but you can't raise your prices. Promise?" "We promise! +WINK+" A recent report said they were raising certain fees. Oh and laying off a bunch of employees.

Considering pilots are responsible for hundreds of lives on each flight I have absolutely no problem with pilots getting paid high salaries.

When I was in college in the 90's I didn't even have to think about flying somewhere. It was the obvious choice, even for a starving student. Last week I drove my family of six over 5000 miles round trip to see a dying family member because air travel is so insanely expensive, airlines won't guarantee your kids get to sit with you without adding fees on top of fees and even then who knows, the service is usually bad to awful, and flights themselves get cancelled at a wildly unacceptable rate. I spent over $800 on fuel and many many many hours of our time in the van and I still think it was hugely preferrable to the sh1tsh0w of flying coach as it stands today.

The boxing bit got to me 😂😂😂😂😂😂 different in flight entertainment

Jet Blue clearly hasn't been keeping up with their campaign contributions.

There’s also a crisis and shortage in smart , Helping , educational , charismatic people like you Kelsey. Thanks so much for these amazing vids

The "boxing" had me going for a minute. 😂😂

Dang, Kelsey, this is a great video that we normal people can actually understand. Thanks for posting the particulars--it is going to be very interesting to see how this all plays out since JetBlue is also playing the we're broke card to its investors...

Throughout the pandemic, via three separate statutes, the 10 major US passenger airlines together received more than $54 billion in direct payments ($25 billion, $15 billion, and $14 billion). Congress also appropriated another $25 billion in subsidized loans from the US Department of the Treasury (only a fraction of which airlines have used) and suspended the 7.5 percent excise tax on domestic air travel as well as payments to airports and contractors.

Thank you Kelsey, Love your work.

You have a much deeper understanding of the economic realities of your industry than you let on. I found this informative. Maybe Spirit could save some bucks on pilots if they trained them on the art of the free breakfast.

As a student enrolled in Aviation Management, your latest videos really helped me understand practical aspect of the curriculum and stay up to date. Thank you, and keep up the good work!

Waking up in the morning and finding out you posted just makes my day :D

Loss of competition always results in higher prices!

Thank you for uploading and keeping us up to date on the information! You are an amazing creator, which is one of the reasons why I want to become a commercial pilot! You're amazing! Keep up the good work!

Living on the 27 approaches of KORD/chicago o'hare during the '60s "70s and '80s was such a gas! the variety of regional and cargo airlines and planes flying was amazing. .most of these have been merged or bought up by the big airlines still fun to watch but not like the awesomeness we witnessed back then.

We are living in 'Klownworld' right now. I'm apathetic about the corporate world having financial problems. Beyond that, great content as always, Kelsey! 😃

It's funny though. When I think of budget flights, JetBlue isn't my first thought. I usually think Allegiant, spirit, or frontier.

I love hearing your perspective on this stuff! Since I have been a business traveler for the past 8 years, the airline industry is very interesting to me. Thanks for including these types of videos in your library!

Love the in-depth content, Kelsey.

Unreal. I'm a newly minted 1500 hour pilot trying to break into the 121 world. Of course the economy would go to crap and hiring would slow and stop just as I am marketable. I hope this isn't a trend across all of the airlines.

Two railroads called the Santa Fe and Southern Pacific also concocted a merger with the intent of monopolizing rail traffic in the southwestern US and raising prices. They also told the government that the intent was to really lower prices, and then company memo came to light. Needless to say, the government denied the merger.

I was with DOD and in the Army before plu during the reduction in forces after Vietnam. The Airlines were "Head Hunting" pilots and as you said; "It cost a lot to train one". We even had State Governments and private companies looking at helicopter pilots back then (almost 50 years ago). My DOD boss was a retired Marine (Col) pilot and he was always telling me about these officers making the decision to not take a "Down Grade" in rank and just go private. He told me about the cost to train these guys; "extremely high and the experience many had in flying hours". As a guy who was a teacher, two college degrees, I had three sons and money talks, ask my ex-wives! Nice post, thank you Kelsey.

Those companies must have not bought off the politicians sufficiently.

Extremely good analysis! I have a biz degree and did all my papers in skool about aviation, including almost every paper in law skool too. You did a great job. The only issue is that the low cost carriers need to increase revenue, which means ultimately they need to fill every seat and for a price that provides as much income as possible. Raising their rates will push them into the legacy carrier cost band, and then they're screwed. Nobody will pick Spirit over a legacy if the cost isn't much different, especially when the pricing model of "everything extra" you often end up paying "real" airline money to fly. The legacy carriers could cut their rates slightly or put off scheduled increases in fares to lower the difference and stick a fork in Spirit. I hope Spirit makes it somehow, as a good friend of mine just finished his type cert to fly for them. He says they are all a great bunch of people. The main problem with Spirit is the customers. Where you find cheap fares, like cheap rent, you find higher crime rates due to the demographics. Sad, but true fact of life- cue the social justice warriors, but facts are fact.

This was really well done! You put a lot of work into this and it shows

Thanks Kelsey for explaining and sharing these insights. I love these videos - learning more about aviation, off the runway. Keep it up!

I was looking into flying to Myrtle Beach in the winter time. Only Spirit Airlines was available, hard pass due to Inflight Boxing. Now I know it's a perk I will givie it a go ! Love your humor !

Anecdotal info: I used to fly Spirit all the time to see family in another state and didn't need the frills, but as soon as the merger was announced, the Spirit flights disappeared and only jetBlue flights remained (with hiked up prices, compared to before). I stopped flying Spirit (as did others) and that probably accounts for some of that revenue lost. I've always had good experience with Spirit (with lowered expectations, of course); and this is coming from someone who flies Delta for business monthly.

I really like these videos on the airline industry. Thanks Kelsey.

I think a big factor that has been missed with this video is maintenance costs. Yes you mentioned the conversion costs of the airplane but the costs of merging maintenence is a big cost. Manuals, maintenence practices, sops, tires, engines, and fleet training.

I miss Continental. For a long time after the merger with United, they kept the staff divided with "United Crews" and "Continental Crews", even though they wore the same uniforms. You could always tell when it was a Continental crew.

Other than junior pilots or pilots at the regionals, pilots don't like jumping around because they will start at the bottom at their new company because the seniority system decides their whole career at an airline. No captain I know volunteers happily to start all over on probation as a junior pilot at a new airline unless their carrier was going bankrupt.

I still have my 1977 copy of Flying Magazine which documented the history of airlines from the beginning of aviation passenger service until that year. The mergers and acquisions were numerous and mind boggling. Forty-six years later it has all changed again, practically unrecognizable from the days I flew "Braniff Intermittant--World's Largest Non-scheduled Airline, or The Proud Bird with the Golden Tail, Continental. Time flies faster than the airliners!

I like the videos you’ve made recently related to the economic impact that is happening to airlines, personnel, etc. keep up the good work ❤️

Yet another based and well laid out take. Thank you, Kelsey.

Excellent analysis and so clearly explained in layman's terms. Kelsey, you have a real gift for communication on these economic issues.

You are very thorough explaining things. Thanks.

Good looking out for making my day my man

I personally like the air quotes around "representing the people." Thanks for the little laugh this morning.

"Free inflight boxing"...The UFC should buy Spirit. Good call.

Thank you for the information! Great job!!

Love your getting into what's going on behind thr seen!

This merger is a no-brainer from a competition standpoint. I don’t understand the DOJ’s issue with this merger. I like your insight on whether JetBlue will want to continue the merger with Spirit. I heard part of the reason for the merger is for pilots (like you said), but also for the planes. It’ll be interesting what the changing economy will bring. Thanks for the awesome video, Kelsey! You are one of the best at breaking things down to a level that anyone can understand.

I've flown Spirit a few times. Mostly, they are cheap transportation unless you are going someplace with luggage (like Puerto Rico, eg). On one flight I carried just a small backpack. It cost me less to fly to my destination than to park at the airport. Going on a cruise vacation, it cost us just as much on Spirit as it would have on Southwest (don't ask). The nice thing was it seemed to take less time to get off - there weren't as many people with steamer trunks they were cramming into the overheads. Great video, K.

Thank you for a beautifully clear analysis of the problem here.

Very interesting to hear about the business side of things right now. Thanks for teaching the rest of us in a way easy to understand. Keep the great videos coming...

Funny, they didn't stop United merging in Continental, my favorite airline.

It makes sense that ultra low cost carriers would be hit hard by economic downturns. Their main appeal is to those who want or need to travel as cheaply as possible. Unfortunately those are often the first people affected by downturns.

Kelsey, I literally look forward to every new video from you!

Fantastic explanation to clear everything up and you’re spot on with your concerns about the deal. Thanks for making this.

Hi Kelsey! Firstly, I really enjoy your you tube videos. I have a suggestion for your hollywood vs reality series. I just saw a really old plane disasters movie called Airport 75. It involves a 747 en route to Los Angeles and a small single engine plane crashes into the cockpit! It’s really hokey, and the stewardess ends up flying the plane. There’s a mid-air transfer to get a pilot on board. I remember the original Airport movie, and it was good considering the time it came out. This one is just plane ✈️ crazy 😜.

This reminds of Pan Am and TWA. They were both huge Airlines and companies, that ended up going bankrupt. It seems no Airline is safe no matter how big…

I love your videos! You make them so interesting and funny!!

Bro the "spirit does have free in flight boxing though" took me all the way out LOLOL

I love JetBlue, I own lots of their stocks. A few years back when hurricane Maria hit Puerto Rico they were the ONLY airline offering free flights to my people to get them out the island and into the states. That ment a lot to me, ever since I fly JetBlue and I but their stock up or down.

When Delta announced the changes to their loyalty program, I status matched with Jet Blue. I do like Jet Blue, but I’m Delta loyal so I only fly JB if I’m going to NYC or BOS. Their Mint class is enticing and way more affordable than flying in a Delta One suite to Europe. I’ve never flown on Spirit but some of my friends fly them with no issues.

This is a great informative video - I love how you put things in layman’s terms, you’re a very likeable guy & a fantastic teacher, you’re humble & willing to admit your flaws & laugh at yourself ❤️ Over here in the UK I believe it’s referred to the Monopolies Commission & they’ll pull the plug on mergers & take-overs that will monopolise the market, because as you stated, when a company has the monopoly on a service/product they can name their price.

Kelsey that was the most perfectly timed transition at 14:02 When you said we’d say about the 20% pay increase KZfaq gave me an ad and it said “big news, this is how you become a millionaire quickly.” 😂

I love this pivot on content. Great job

One flight on Spirit was enough for me and means never again. One flight on Jet Blue was very good. I mostly fly SW.

Yikes! I rely on Spirit's low fares to fly between AC and Fort Lauderdale.

Well done Kelsey 👏 It was easy to comprehend and very thorough. You’re a natural born instructor! ❤️

Interesting video, bro! Thanks for the insight! God bless you. Praying for you!

I love your analysis for this specific merger and understand why you left out Frontier. Whilst Frontier is not a part of the picture any longer, it was a key factor in why JetBlue made such an abrupt and overpriced offer. As you are almost certainly aware, Frontier and Spirit have similar business models and do not overlap substantially, and this was a real danger to JetBlue, which has significant overlap with Spirit. Frontier encroaching on JetBlue’s “territory” would have been problematic with a combined Spirit/Frontier nationwide operating network. I view JetBlue’s attempted merger with Spirit as more of a delay or stopgap tactic at best, and the success or failure of the merger is ultimately irrelevant to JetBlue. They just don't want to compete with a combined Frontier/Spirit, if at all possible. I am pretty well certain that JetBlue is hoping that the DoJ blocks their deal and scares off Frontier.

I guess to train Kelsey, it cost $50k - 100k + snacks + breakfasts or roughly $55k - 150k. (Depending on the quality of snacks/breakfast).

Thanks for the market report!

Hi Kelsey, that was an excellent analysis. You really know the airline industry. All the best from Australia.

Thank you for explaining this! I used to fly Spirit quite a lot when I was flying in and out of San Jose and I thought they were wonderful because I don't need a coke and peanuts. Frontier, however, never again. Only flying the legacy guys in and out of Liberia. I need one of those lovely carpeted gangways getting on and off the plane. Flew Frontier once only in June, fell getting off the plane (no balance post stroke) split head open, concussion, torn bicep, messed up knee and took that lovely trip to the hospital. They said it was my fault because I kept asking the crew not to touch me as I came off the plane. Screws with my balance even worse to be man handled, they did it anyway. They paid the hospital bill and refunded my ticket.

I think it would be wise, if Jet Blue bought Spirit, to operate Spirit as a subsidiary with their current branding and livery for awhile. Maybe, gradually transitioning aircraft until they've all be transferred and that would spread out that cost over years. But, all things are cyclical, more-or-less to some degree, for the most part so it's likely that if Spirit could survive the current downward trend in their ticket sales in a year or two they should be seeing a rise in sales again. Great videos, by the way. Thank you.

Learning a lot. Thanks for this😮

The explanation of the differences between jetblue and spirit's business models at 8:17 was one of the best business analyses I've ever listened to.

It’s a shame to see the travel industry suffering as a result of the cost of living crisis, once upon a time I used to travel 3 or 4 times a year, this year I’ve travelled once, and that was for a special occasion.

Very well done. Educating people. More of it needs to be done. Thanks

Quite informative! Thank you.

I love this video, it is a really good breakdown of how the Spirit and JetBlue merger is going as of Nov 2023. The only gripe I have here is that I would argue it's corporate greed driving inflation. You shouldn't say that the stimulus checks are driving the inflation when the companies that sell our staple foods are posting record profits. That's putting the blame on the people when it belongs on the companies.

I just received the notification for this video at 0800 on Nov 6 and what is being said here has so many tendrils into all aspectts of our lives. Gas prices, wage increases via strikes, and even ripples from covid and its government handouts. We just received a tutorial on how economy works.

I flew spirit once round trip. I loved my flawless trip out. My trip back was a nightmare. I have mixed feelings about the possibility of spirit going out of business. For the record I’d pay a little more for a better flight experience. At least some of the time.

The economy, yes. But the majority of Spirit's problems right now is parking planes due to the RTX/Pratt engine issue. We taxi past them every day at DTW and the parking lot continues to grow. An aircraft out of service for a day creates financial havoc for an airline. Multiple planes for MONTHS is another story.

Thanks

love the video

Really good in-depth review of current circumstances!

Great insight into the airline business. The airline model is a very tough business model even in good times because of so many factors out of their control.

Video suggestion: you say you barely finished high school, so what have you done? Have you done a video yet where you lay out your entire aviation background? That would be interesting to know what steps you followed to get to your job today, how long each step took, any setbacks or choices you made along the way, and what you would do differently looking back? How much was luck, good timing or just lots of hard work to get you where you are today? This would make a good video for both interested subscribers and people wanting to be pilots.