MINNEAPOLIS, July 7, 2026, 07:20 (CDT)
- Allegiant is now forecasting second-quarter adjusted EPS of at least $1.25. The company had previously expected a net loss on a stand-alone basis.
- Full operational integration could take 18-24 months. For now, loyalty and booking systems are still separate.
- Allegiant brought on Colle McVoy, an agency from Minneapolis, to help keep Sun Country customers after the acquisition.
Allegiant has shifted focus to holding onto Sun Country customers at Minneapolis-St. Paul after closing its acquisition. The investment idea now is less about slashing overlap and more about keeping Sun Country passengers as the companies navigate a lengthy system split. The merger wrapped up on May 13, following regulatory and shareholder sign-off, and Sun Country shares stopped trading at the close.
Allegiant was indicated at $115.62 as of 07:20 CDT, before U.S. markets opened. The main Nasdaq and NYSE trading hours are 9:30 a.m. to 4 p.m. ET.
| Investor marker | Latest disclosed data | Why it matters |
|---|---|---|
| Deal value at announcement | About $1.5 billion, with $0.4 billion of Sun Country net debt | This is the baseline for synergy goals. |
| Combined scale | 22 million annual customers, close to 175 cities, over 650 routes, 195 aircraft | Allegiant grows its leisure network before the full systems merge. |
| Synergy target | About $140 million in three years | The key profit goal after the deal. |
| Second-quarter guide | Adjusted EPS at least $1.25; fuel around $4.20/gal; 23.5 million diluted shares | First look at combined earnings beats the old solo loss guide. |
| Operating timetable | Single certificate in 18-24 months | Revenue cross-sale lands before total integration. |
Allegiant raised its adjusted EPS forecast to at least $1.25 in a June 30 filing, up from its April outlook for a near 50-cent adjusted loss. The company said it would consolidate Sun Country’s results from May 13 through the end of the quarter, boosting second-quarter numbers. Allegiant pointed to demand at both Allegiant and Sun Country, a stand-alone unit revenue jump of about 23%, and lower June fuel prices.
Kristen Schilling-Gonzales, Allegiant’s vice president of network, planning and charters, told USA Today that “there’s not a whole lot of immediate change” for passengers. The two airlines are listing each other’s flights on their websites, but travelers still can’t combine Allegiant and Sun Country flights on a single ticket. She added there’s just one overlapping route between the two carriers. Idaho Statesman
| Customer lever | Current status | Investor issue |
|---|---|---|
| Loyalty points | Allegiant Allways points don’t work for Sun Country flights as of today | Sun Country customers move slower to Allegiant loyalty |
| Credit-card earn | Allways cardholders get 1 point per $1 spent on Sun Country, but Allegiant flight perks only cover Allegiant flights | Card benefit limited for now across both networks |
| Booking systems | Systems are still separate | Less value near term from cross-selling |
| Brand | Sun Country keeps its name for now. Later, the combined group is expected to take the Allegiant brand | MSP retention risk is higher until the rebrand |
| Flight schedules | No route or schedule changes right now | Less disruption, but fewer clear merger benefits for customers yet |
The Colle McVoy move shows what’s at stake. The Minneapolis/St. Paul Business Journal said Allegiant brought on the local ad shop to target Sun Country’s customer base after buying the airline. For investors, this puts a number on brand risk in Sun Country’s own backyard ahead of the Allegiant rollout.
The low route overlap shifts how this deal adds up. Allegiant only shares one route, so there’s little to cut in duplicate flights. The focus moves to better aircraft use, smoother scheduling at MSP, and trying to boost sales to both sets of customers.
Sun Country CEO Jude Bricker told investors the deal should mean “more seats and lower fares” at MSP. Allegiant’s Drew Wells said Allegiant could look to gate lulls at MSP and Sun Country’s 20-plus crew bases to boost revenue.
Allegiant said it is aiming for $140 million in synergies, expecting gains from network and scheduling fixes, Midwest distribution, loyalty and co-brand results, plus charter and cargo scale. President and CFO Robert Neal told investors the company could see “close to half” of that in the first year.
Sun Country gets cargo and charter revenue on top of its leisure travel business. Amazon.com Inc NASDAQ:AMZN will hand over two more planes to Sun Country for cargo, moving its fleet up to 22 from 20, according to the merger call transcript.
Integration is still the main execution risk here. Allegiant execs told investors that people, culture, and tech are the top worries. Both carriers use Navitaire, which should help when moving customer data. Frontline jobs don’t change for now, the company said, and current labor deals are untouched. MSP stays a key hub.
Schilling-Gonzales said the carriers are set to coordinate their schedules for summer 2027. That coordination comes before getting a single operating certificate, and before the Sun Country name is phased out.
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