Group 1 - Sun Country Airlines will hold its first quarter 2025 earnings call on May 2 at 8:30 a.m. Eastern Time [1] - Interested investors can access the live call and replay through the Sun Country investor relations website [1] - The company is a hybrid low-cost air carrier focused on connecting guests to leisure destinations and providing cargo services [2] Group 2 - Sun Country Airlines operates scheduled service, charter, and cargo businesses, dynamically deploying shared resources [2] - The airline is based in Minnesota and primarily serves leisure and visiting friends and relatives (VFR) passengers [2] - Sun Country provides cargo service to Amazon and operates flights throughout the United States and to destinations in Mexico, Central America, Canada, and the Caribbean [2]

Core Insights - Sun Country Airlines has launched a new travel documentary series called the "Get To Going Series" that highlights unique and accessible experiences in its destinations [1][3] - The pilot episode, in collaboration with Budget, features locations in Arizona, showcasing local cuisine and attractions while connecting with local businesses and artists [2][3] Company Overview - Sun Country Airlines is a hybrid low-cost carrier based in Minnesota, focusing on leisure travel and visiting friends and relatives (VFR) passengers, as well as charter services and cargo operations [6] - The airline aims to create memorable experiences for its guests by connecting them to their favorite destinations [6] Series Details - The "Get To Going Series" aims to present lesser-known activities and affordable travel options, encouraging viewers to explore and engage with the destinations [3][4] - The series is hosted by Amber Estenson, who emphasizes the importance of authentic connections and attainable travel experiences [3][4] - The first full episode is available on GetToGoing.com, where viewers can also book featured experiences [4]

Company Overview - Sun Country Airlines has launched a new travel documentary series called the "Get To Going Series" to highlight unique and attainable travel experiences in its destinations [1][3] - The airline operates as a hybrid low-cost carrier, focusing on leisure travel and connecting customers with friends and family, while also providing charter and cargo services [6] Series Details - The pilot episode, produced in partnership with Budget, features destinations in Arizona, including Phoenix, Tucson, and Bisbee, showcasing local cuisine and attractions [2][4] - The series aims to present lesser-known activities and affordable travel options, encouraging viewers to explore and engage with the destinations [3][4] - The first full episode is available on GetToGoing.com, where customers can also book the experiences featured in the series [4] Future Plans - More episodes featuring additional Sun Country destinations are scheduled to be released within the year [5]

Core Insights - Sun Country Airlines will present at the J.P. Morgan 2025 Industrials Conference on March 11, 2025, at 4:10 PM EST [1] Company Overview - Sun Country Airlines is a hybrid low-cost air carrier focused on connecting guests to leisure destinations and providing transformative experiences [2] - The company operates scheduled services, charter flights, and cargo services, primarily targeting leisure and visiting friends and relatives (VFR) passengers [2] - Based in Minnesota, Sun Country Airlines also provides cargo services to Amazon and operates flights throughout the United States and to destinations in Mexico, Central America, Canada, and the Caribbean [2]

Core Insights - Sun Country Airlines has extended its booking schedule through December 9, 2025, allowing customers to plan travel for MEA and Thanksgiving 2025 [1] - The airline is focusing on popular destinations such as Fort Myers, Orlando, Las Vegas, and Phoenix, with the return of nonstop service to Asheville, North Carolina, in the fall [1] Group 1: Business Strategy - Sun Country Airlines offers more nonstop destinations from a single airport than any other leisure airline in the United States, enhancing its appeal as a leisure airline of choice [2] - The airline is adding flights in the fall to cater to sports fans traveling to see local teams, reflecting its seasonal flexibility [2] - Sun Country operates 120 routes serving nearly 100 airports across the U.S., Mexico, Central America, Canada, and the Caribbean, emphasizing its commitment to safe and reliable travel [2] Group 2: Customer Experience - The onboard experience includes state-of-the-art seating, full-size tray tables, comfortable recline, and in-seat power in most seats, enhancing passenger comfort [2] - Sun Country provides free in-flight entertainment and complimentary beverages, with additional snacks and beverage options available for purchase [2] - The airline partners with local Minnesota and Midwest-based companies to feature their products on the menu, promoting regional businesses [2][3] Group 3: Company Overview - Sun Country Airlines is characterized as a hybrid low-cost carrier, aiming to connect guests to their favorite destinations and create memorable experiences [3] - The company dynamically deploys resources across scheduled service, charter, and cargo businesses, focusing on leisure and visiting friends and relatives (VFR) passengers [3] - Sun Country also provides cargo services to Amazon, indicating a diversified business model [3]

Core Viewpoint - Airlines are often not appealing long-term investments due to revenue and cost dynamics, but Sun Country Airlines presents an attractive business setup [1]. Group 1: Company Analysis - Sun Country Airlines is highlighted as having a favorable business model within the airline industry [1]. - The analysis is driven by data-informed insights, focusing on growth prospects in the aerospace, defense, and airline sectors [1]. Group 2: Industry Context - The aerospace and airline industry is characterized by significant growth potential, despite the challenges faced by airlines in terms of revenue and cost management [1].

Group 1 - Sun Country Airlines President and CFO Dave Davis will participate in a fireside chat at the Barclays Industrial Conference on February 20, 2025, at 11:00 AM EST [1] - The live webcast of the event will be available on the Sun Country investor relations website [1] Group 2 - Sun Country Airlines is a hybrid low-cost air carrier focused on connecting guests to leisure and visiting friends and relatives (VFR) passengers, as well as charter customers [2] - The company provides cargo services to Amazon and operates flights throughout the United States and to destinations in Mexico, Central America, Canada, and the Caribbean [2]

Fleet and Operations - As of December 31, 2024, the fleet consisted of 63 Boeing 737-NG aircraft, including 45 passenger aircraft and 12 cargo aircraft operated under a contract with Amazon[102]. - The company plans to increase the number of cargo aircraft operated for Amazon from 12 to 20 by the end of the third quarter of 2025[103]. - The average pitch of seats across the fleet is approximately 31 inches, providing comparable legroom to Southwest Airlines[98]. - The company has doubled its non-stop destinations from MSP since 2019, serving approximately 104 markets in 2024[112]. - The scheduled service completion factor was 98.7% in 2024, slightly down from 99.0% in 2023, indicating strong operational performance[138]. - Approximately 94% of 2024 Scheduled Service capacity, measured by ASMs, had Minneapolis-St. Paul (MSP) as either their origin or destination[245]. - The average daily aircraft utilization was 7.3 hours for the year ended December 31, 2024, compared to 6.9 hours for 2023[270]. Financial Performance - In 2024, the company flew 4.5 million Scheduled Service passengers, with an average total fare per passenger of approximately $159.93, down from $176.30 in 2023[104]. - The average ancillary revenue per passenger increased to approximately $68.68 in 2024, compared to $66.69 in 2023[108]. - The company generated ancillary revenues of $307.9 million and $276.1 million for the years ended December 31, 2024 and 2023, respectively[215]. - Labor costs represented approximately 34% and 32% of total operating costs for the years ended December 31, 2024 and 2023, respectively[266]. - Aircraft fuel costs represented approximately 24% of total operating costs in 2024, down from 27% in 2023, with fuel consumption increasing from 79,574 thousand gallons in 2023 to 86,185 thousand gallons in 2024[139]. - The company aims to maintain its ancillary revenues, which are critical for its strategy to lower base fares and stimulate demand for air travel[261]. Market and Competition - The company faces significant competition from new entrants, low-cost carriers (LCCs), ultra-low-cost carriers (ULCCs), and legacy network airlines, which could impact its market share and profitability[188]. - Increased competition in the Minneapolis market from low-cost carriers or legacy airlines could adversely affect the company's business and results of operations[245]. - The airline industry has experienced significant consolidation, which could alter competitive dynamics and permit competitors to reduce fares[196]. - The company may not be able to increase ticket prices sufficiently to cover rising fuel costs, particularly in a competitive environment[186]. Regulatory and Compliance - The airline's operations are subject to extensive regulation by the DOT and FAA, which oversee economic authority and safety compliance[162]. - The company emphasizes compliance with laws and regulations, but failure to do so could result in fines, penalties, and increased compliance costs[237]. - The company is subject to various consumer protection regulations that could impose additional compliance costs and operational challenges[215]. - Compliance with existing and future environmental laws and regulations may require significant expenditures and operational changes, potentially affecting financial performance[220]. Safety and Community Engagement - Sun Country Airlines invests in safety programs, including Flight Operations Quality Assurance and advanced training devices, to enhance safety and efficiency[154]. - The airline has established a partnership with the FAA and labor unions through ASAP to encourage the reporting of safety issues without fear of enforcement[155]. - Sun Country Airlines has engaged in community initiatives, including supporting the Hennepin Theatre Trust Spotlight Education program and investing in STEM education for disadvantaged students[159]. - Sun Country Airlines is committed to maintaining the highest level of safety compliance, guided by established procedures and policies[151]. Strategic Initiatives - The company launched 16 new markets since the start of 2024, with non-MSP service comprising 14% of all markets served in 2024[113]. - The company’s growth strategy includes expanding its aircraft fleet and market presence, particularly at MSP and non-MSP point-to-point markets[231]. - The company’s loyalty program, Sun Country Rewards, is designed to encourage customer loyalty by allowing points to be used like currency for ticket purchases[136]. - The company’s marketing strategy targets core leisure and VFR travelers, utilizing a proprietary email list of approximately two million addresses[134]. Challenges and Risks - The airline industry is highly sensitive to economic conditions, with a recession potentially leading to a material adverse effect on demand for services[181]. - The company faces challenges in hiring pilots and crew due to industry-wide staffing shortages, which could impact operations under the A&R ATSA[243]. - The company is dependent on the availability of aircraft fuel, which is unpredictable and can be affected by various external factors[185]. - The company may experience significant maintenance expenses due to unscheduled maintenance events, which can impose material unplanned costs[277]. - The company faces potential reputational harm and legal liability from accidents or incidents involving its aircraft or personnel[249].

Core Viewpoint - Sun Country Airlines Holdings, Inc. announced a secondary public offering of 6,346,105 shares of common stock, which will close on February 11, 2025, and is managed by affiliates of Apollo Global Management, Inc. [1] Group 1: Offering Details - The offering consists of all remaining shares owned by the Selling Stockholder, and Sun Country Airlines will not sell any shares or receive any proceeds from this offering [2][1] - Sun Country Airlines plans to purchase approximately $10 million of shares from the underwriters at the same price as the offering, funded by existing cash [3] - Barclays and Morgan Stanley are acting as joint bookrunners and underwriters for the offering, which may be sold through various methods on the Nasdaq Global Select Market [4] Group 2: Company Overview - Sun Country Airlines is a hybrid low-cost air carrier based in Minnesota, focusing on leisure and visiting friends and relatives (VFR) passengers, charter customers, and providing cargo services to Amazon [7]

Core Viewpoint - Sun Country Airlines Holdings, Inc. has announced a proposed secondary public offering of 6,346,105 shares of its common stock, which will be sold by an affiliate of certain investment funds managed by Apollo Global Management, Inc. The company itself will not sell any shares or receive any proceeds from this offering [1][2]. Group 1: Offering Details - The offering consists of all remaining shares owned by the Selling Stockholder [1]. - Sun Country Airlines has authorized a Concurrent Share Repurchase of approximately $10 million of shares at the same price as the offering, to be funded from existing cash [3]. - Barclays and Morgan Stanley are acting as joint bookrunners and underwriters for the proposed offering, which may be sold through various methods including direct sales, brokerage transactions, or negotiated transactions [4]. Group 2: Company Overview - Sun Country Airlines is characterized as a hybrid low-cost air carrier, focusing on leisure and visiting friends and relatives (VFR) passengers, as well as charter customers and cargo services, particularly to Amazon [7].