Frontier Airlines and Spirit Airlines have announced a merger agreement in a $6.6 billion cash-and-stock deal, in a move set to create America's fifth-largest airline. The newly formed low-fare giant, resulted from highly complementary networks, aims to serve over 145 destinations in the United States, Latin America, and the Caribbean. Given the combined fleet being the youngest and most fuel-efficient in the U.S., the merger is expected to drive competition further, expand services to underserved cities, and provide consumers with around $1 billion in annual savings. The agreement comes as the travel industry battles against higher costs and disruptions amidst the Covid-19 pandemic.
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