By Mackenzie Tatananni
Shares of JetBlue Airways climbed as Spirit Airlines collapsed -- and two JetBlue insiders moved to offload their entire stakes in the still-standing low-cost carrier.
May 1 marked the last trading session before Spirit ceased operations. Shares of JetBlue and other legacy carriers rose that day on a flurry of media reports that suggested a shutdown was imminent. JetBlue closed up 4.3%, beat the S&P 500's 0.3% gain. Spirit officially closed its business in the early hours of May 2.
The same day, director Thomas Winkelmann sold his entire stake of 35,473 JetBlue shares at prices ranging from $4.70 to $4.71. The transaction amounted to roughly $166,856 worth of stock.
Dawn Southerton, JetBlue's principal accounting officer, signaled her intent to sell in a filing with the Securities and Exchange Commission on May 1. On Monday, May 4, Southerton shed her remaining 18,193 shares for $5 each.
Barron's reached out to JetBlue for comment on the transactions.
Spirit had been under pressure for years and twice filed for bankruptcy. Rising fuel costs, a result of the Iran war, were the final nail in the coffin.
Spirit said it had undertaken "extensive and comprehensive efforts" to restructure its business; however, "the recent material increase in oil prices and other pressures on the business" made it impossible to recover.
With Spirit gone, JetBlue can expand its routes and capture more of the market. Melius analyst Conor Cunningham noted before the collapse that JetBlue was one of several carriers that "made concerted efforts to backfill Spirit's markets out of Florida" following Spirit's second bankruptcy in September.
Inside Scoop is a regular Barron's feature covering stock transactions by corporate executives and board members -- so-called insiders -- as well as large shareholders, politicians, and other prominent figures. Due to their insider status, these investors are required to disclose stock trades with the Securities and Exchange Commission or other regulatory groups.
Write to Mackenzie Tatananni at mackenzie.tatananni@barrons.com
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May 15, 2026 21:31 ET (01:31 GMT)
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