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Here are a few analogies for Sun Country Airlines:

• Allegiant Air, but with a substantial cargo and charter arm.
• Southwest Airlines, but they also fly a lot of packages.

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• Scheduled Passenger Transportation: Provides regular commercial flights for individual travelers.
• Air Cargo Transportation: Offers freight services for shipping goods and packages.
• Charter Air Transportation: Arranges customized flights for groups or specific client requirements.

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Sun Country Airlines (SNCY) primarily sells its services to individuals through its scheduled passenger service, which constitutes the largest portion of its revenue. Therefore, its major customers can be categorized as follows:

• Leisure Travelers: Individuals and families traveling for vacations, often to warm-weather destinations across the United States, Mexico, and the Caribbean. Sun Country is known for catering to this segment with its low-cost model.
• VFR (Visiting Friends and Relatives) Travelers: Customers flying to specific destinations to visit family and friends. This segment often overlaps with leisure travel but focuses on connecting people rather than purely recreational trips.
• Value-Oriented Travelers: Individuals seeking affordable airfare options, often prioritizing lower costs over extensive amenities typically offered by full-service carriers. This category encompasses a broad range of travelers looking for budget-friendly travel solutions.

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Major Suppliers:

• Boeing Company (BA)
• AerCap Holdings N.V. (AER)
• Amadeus IT Group, S.A. (AMS.MC)

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Jude Bricker, Chief Executive Officer

Jude Bricker has served as Chief Executive Officer of Sun Country Airlines since July 2017 and as a member of its Board of Directors since April 2018. He brings over 20 years of experience in the aviation industry. Before joining Sun Country, he was the Chief Operating Officer of Allegiant Travel Company from January 2016 to June 2017, and held various other leadership roles there from 2006 to 2016. In his role as COO at Allegiant, Bricker was responsible for areas including marketing, network, operations, treasury, fleet, scheduling, pricing, and investor relations. His earlier career included a position as a finance manager at American Airlines from July 2004 to May 2006. Bricker holds a BS in Civil Engineering from Texas A&M University and an MBA from the University of Texas. He also served as an infantry officer with the United States Marine Corps from 1996 to 2002. Sun Country Airlines was owned by the private equity firm Apollo Global Management from 2017 to 2025, aligning with Bricker's tenure as CEO from 2017.

Torque Zubeck, Senior Vice President and Chief Financial Officer

Torque Zubeck serves as the Senior Vice President and Chief Financial Officer of Sun Country Airlines, bringing more than 30 years of business experience, including over two decades in airline leadership roles. He previously held the position of Chief Financial Officer at Mesa Airlines from 2021 to 2023. Prior to Mesa, Zubeck spent 20 years at Alaska Airlines, where his responsibilities spanned finance, audit, cargo operations, and commercial partnerships. He was instrumental in leading the successful integration of Virgin America into Alaska Airlines. His experience also includes serving as CFO for two private companies in the Seattle region, such as the Seattle Hospitality Group, and involvement in business consulting, financial planning, and non-profit management.

Brian Davis, Senior Vice President & Chief Marketing Officer

Brian Davis holds the position of Senior Vice President & Chief Marketing Officer at Sun Country Airlines. In this role, he oversees the teams responsible for Brand, Customer Acquisition, eCommerce, Ancillary Revenue, Loyalty, and the overall Customer Experience. Before joining Sun Country, Davis worked for Allegiant (NASDAQ: ALGT) for 12 years, where he held various leadership positions, including Vice President of Marketing & eCommerce. He earned an MBA from the Wharton School at the University of Pennsylvania. Davis is recognized for his efforts in creating an inclusive workplace at Sun Country.

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Here are the key risks to Sun Country Airlines (SNCY):

1. Uncertainty Related to Pending Acquisition: Sun Country Airlines faces significant risks stemming from the announced acquisition by Allegiant Travel Company. This uncertainty can impact the retention of key personnel and the maintenance of crucial supplier relationships, as concerns may arise regarding future roles, company culture, and the direction of the combined entity. Such transitions can also lead to operational disruptions and potential impacts on financial performance.
2. Fuel Price Volatility: As with all airlines, Sun Country Airlines is highly susceptible to fluctuations in jet fuel prices, which constitute a major variable operating cost. Recent geopolitical tensions have led to dramatic spikes in crude oil prices, directly increasing jet fuel costs and compressing profit margins across the airline industry. Many North American airlines, including Sun Country, have largely ceased fuel hedging, leaving them more exposed to rapid price swings.
3. Labor Relations and Rising Costs: Sun Country Airlines has experienced ongoing challenges related to labor relations, including active contract negotiations and unionization efforts with various employee groups such as flight attendants and fleet service workers. These efforts frequently involve demands for increased wages, improved benefits, and better working conditions. Additionally, pilot shortages have limited the airline's ability to maximize its fleet utilization and capitalize on market opportunities, further contributing to potential operational inefficiencies and increased labor costs.

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Addressable Markets for Sun Country Airlines (SNCY)

Sun Country Airlines operates in scheduled passenger, air cargo, and charter air transportation services in the United States, Latin America, and internationally. The addressable markets for these services are substantial:

Scheduled Passenger Air Transportation

• United States: The US aviation market size for passenger transport is projected to grow from approximately USD 84.98 billion in 2024 to USD 122.82 billion by 2035. US air passenger traffic is expected to reach about 1.01 billion by 2028. In February 2026, the USA had 77.5 million scheduled domestic seats. U.S. airlines carried 84.1 million systemwide (domestic and international) scheduled service passengers in October 2025.
• Latin America: In 2025, total passenger air traffic to, from, and within Latin America and the Caribbean reached 477.3 million passengers. The overall capacity for Latin America increased to 55.6 million seats in March 2026. Commercial aviation in Latin America recorded 41.2 million scheduled seats in June 2025.

Air Cargo Transportation

• Global: The global air cargo market size was valued at USD 185.3 billion in 2023 and is projected to grow to USD 288.8 billion by 2032. Other estimates include USD 172.74 billion in 2024, projected to reach USD 273.50 billion by 2032, and USD 335.2 billion in 2025, expected to reach USD 506.2 billion by 2034.
• United States: The U.S. air cargo market accounted for over 70% of the North America revenue share in 2023 and is expected to exceed USD 50 billion by 2032. In 2025, the U.S. air freight market size was valued at USD 64.06 billion and is estimated to reach USD 91.81 billion by 2034. Another report valued the US Air Freight Market at approximately USD 42 billion based on a five-year historical analysis (as of December 2025).
• Latin America: The Latin America air cargo market held approximately 5% of the global revenue, with a market size of USD 9.31 billion in 2025.

Charter Air Transportation

• Global: The global air charter services market size was valued at USD 32.2 billion in 2024 and is estimated to grow to USD 55 billion by 2034. Another source valued the global air charter services market at USD 46.29 billion in 2023, projected to reach USD 80.65 billion by 2032. The global chartered air transport market was estimated at USD 38.41 billion in 2023 and is projected to reach USD 60.97 billion by 2030.
• United States: The U.S. air charter services market was valued at USD 12.2 billion in 2024. North America held the largest revenue share in the chartered air transport market, accounting for 45.4% in 2023. The United States dominates the air charter services market with over 15,000 registered business aircraft, representing nearly 65% of the global charter fleet.

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Sun Country Airlines (SNCY) is expected to drive future revenue growth over the next 2-3 years through several key strategies:

1. Continued Expansion of Cargo Operations: Sun Country Airlines has significantly expanded its cargo fleet, primarily under its contract with Amazon Air. The airline completed the integration of additional freighter aircraft by September 2025, increasing its cargo fleet to 20 aircraft. This expansion is expected to approximately double cargo revenue, with the Amazon contract extending through 2030 and options for further extensions.

2. Resumption and Growth in Scheduled Passenger Service: After strategically reducing scheduled passenger service capacity to support its cargo expansion, Sun Country Airlines plans to return to positive year-on-year scheduled service growth by the third quarter of 2026. The company also intends to expand its passenger fleet to 50 aircraft by mid-2027, signaling a renewed focus on this segment.

3. Robust Performance and Growth in Charter Services: The airline's charter segment has consistently demonstrated strong performance, achieving record production and revenue growth. This diversified business model provides a stable and growing revenue stream, complementing its scheduled and cargo operations.

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Share Repurchases

• In February 2025, Sun Country Airlines authorized and completed the repurchase of approximately $10 million worth of shares from underwriters, concurrent with a secondary public offering by an affiliate of Apollo Global Management.
• During the third quarter of 2025, the company repurchased 843,107 shares for approximately $10 million, with a remaining share repurchase authorization of $15 million.
• A $25 million share repurchase program was mentioned in July 2025, to be used opportunistically.

Share Issuance

• Sun Country Airlines completed its Initial Public Offering (IPO) in March 2021, pricing 9,090,909 shares at $24.00 per share, generating approximately $218.2 million in gross proceeds.
• In May 2021 and October 2021, secondary public offerings of shares by existing stockholders, including an Apollo Global Management affiliate and members of management, occurred. Sun Country Airlines did not sell any shares or receive any proceeds from these offerings.
• In February 2025, a secondary public offering of 6,346,105 shares by an Apollo Global Management affiliate marked Apollo's full exit from the airline. Sun Country Airlines did not sell any shares or receive any proceeds from this offering.

Outbound Investments

• In January 2026, Allegiant Travel Company announced a definitive merger agreement to acquire Sun Country Airlines in a $1.5 billion cash-and-stock transaction.

Capital Expenditures

• Capital expenditures for 2025 were projected to be between $70 million and $80 million, with $21 million spent in the first half of the year.
• The primary focus of capital expenditures in 2025 was the expansion of the cargo fleet, including the integration of eight additional cargo aircraft to reach a total of 20 freighter aircraft by the end of the third quarter of 2025.
• Sun Country Airlines does not expect meaningful aircraft capital expenditures until later in 2027, as it plans to increase its fleet through the redelivery of five owned aircraft currently on lease to other carriers during 2025 and 2026.