CSBJ Daily

Allegiant Travel Company has announced its subsidiary, Allegiant Air, has agreed to purchase six MD-80 aircraft and three spare engines that are on lease to FlyNordic, a subsidiary of Norwegian Air Shuttle.

CEO and Chairman Maurice Gallagher said the company’s financial strength is particularly notable in light of recent closures of several other airlines.

“While Allegiant is not immune to high fuel prices and a softer economy, our business model, emphasizing low fixed costs and the generation of ancillary revenue has proven robust during these more challenging times,” he said.

The airline served 3,059 Colorado Springs passengers during February, down 9.5 percent from the prior year. Overall, however, the company is expecting a strong year.

Through Dec. 31, Allegiant’s fifth consecutive profitable year, the company was one of only two U.S. airlines with more cash than debt. Additionally, Allegiant’s profitability for 2007 led all publicly traded U.S. legacy and low-cost carriers.