Spirit Airlines (NK, Fort Lauderdale International) and International Aero Engines (IAE), an affiliate of Pratt & Whitney, have entered into a monthly credit agreement as compensation for each Spirit aircraft unavailable for operational service due to ongoing PW1100G engine inspections, with the carrier expecting to receive compensation ranging between USD150 million and USD200 million.
The agreement, which Spirit Airlines announced in an SEC filing on March 29, is to recompense the carrier for the impact on its fleet until the end of 2024. The compensation will be “primarily determined by the number of days accumulated in 2024 in which Spirit aircraft are unavailable for operational service due to GTF engine issues.”
The ch-aviation fleets module shows that 18 of Spirit’s eighty-seven A320-200N are currently inactive, as well as one of its eleven A321-200NX.
In January, the airline averaged 13 grounded A320neo aircraft and estimated this number would climb steadily to an average of about 40 by December, averaging about 25 airframes out of service per month for the full year of 2024, it disclosed during its fourth quarter 2023 investor call.
When Pratt & Whitney announced, in July 2023, that it had found a rare condition in the powdered metal used to manufacture certain engine parts, it notified Spirit that nearly all GTF engines in its fleet, including potentially the engines slotted for near-term future aircraft deliveries, would be subject to the removal, inspection, and possibly replacement of the impacted parts. The ch-aviation fleets module shows that Spirit Airlines has 196 PW1000 engines amid its fleet, accounting for 47% of the total number of engines.
The carrier's total fleet comprises 207 aircraft, including fifteen A319-100s, sixty-four A320-200s, eight-seven A320-200N, thirty A321-200s, and eleven A321-200NX.
Both Spirit Airlines and Pratt & Whitney will discuss appropriate arrangements in due course for any Spirit aircraft that remain unavailable for operational service after 2024. The airline currently estimates the impact will continue into 2026.
