What Happened to Sun Country Airlines?
Sun Country Airlines, founded in 1982, evolved from a charter airline to a hybrid ultra-low-cost carrier, diversifying its business model to include scheduled passenger service, robust charter operations, and significant cargo flights for Amazon Air. After going public in 2021, the airline was acquired by Allegiant Travel Company in a $1.5 billion deal, which officially closed on May 13, 2026, creating a leading leisure-focused U.S. airline.
Quick Answer
Sun Country Airlines was acquired by Allegiant Travel Company in a $1.5 billion cash and stock transaction, which officially closed on May 13, 2026. The merger creates a combined entity focused on leisure travel, with Sun Country continuing to operate separately under its own brand for an interim period while working towards a single operating certificate with Allegiant. The combined company will maintain a significant presence in Minneapolis-St. Paul, Sun Country's base, while being headquartered in Las Vegas.
📊Key Facts
📅Complete Timeline15 events
Sun Country Airlines Incorporated
Sun Country Airlines was officially incorporated, founded by a group of former Braniff International Airways employees.
First Revenue Flight
The airline operated its first revenue flight from Sioux Falls to Las Vegas, primarily focusing on charter operations for leisure travelers.
Begins Scheduled Passenger Service
Sun Country expanded its operations by introducing scheduled passenger flights from Minneapolis to several major U.S. cities.
Suspends Operations Amid Financial Difficulties
Following the September 11 attacks and mounting financial strain, Sun Country Airlines temporarily suspended its operations.
Files for Chapter 11 Bankruptcy
The airline filed for Chapter 11 bankruptcy protection due to rising fuel costs and the discovery of a Ponzi scheme operated by its then-owner, Petters Group Worldwide.
Acquired by Apollo Global Management and Business Model Transformation
Apollo Global Management acquired Sun Country, initiating a strategic shift to a hybrid ultra-low-cost carrier model with diversified revenue streams.
Partners with Amazon Air for Cargo Operations
Sun Country announced a partnership with Amazon Air to operate cargo flights, adding a significant new business segment that would prove crucial during the pandemic.
Initial Public Offering (IPO) on NASDAQ
Sun Country Airlines became a publicly traded company, listing on the NASDAQ stock exchange under the ticker symbol SNCY, raising approximately $218.2 million.
Amazon Air Contract Extended and Expanded
Sun Country signed an amended agreement with Amazon, extending their cargo contract through 2030 and committing to increase the cargo fleet to 20 aircraft.
Apollo Global Management Sells Remaining Shares
Apollo Global Management completed the sale of its remaining shares in Sun Country through a secondary public offering.
Announces New Operational Base at Cincinnati/Northern Kentucky International Airport
Sun Country announced plans to establish its first crew base outside Minneapolis at CVG, set to open on January 31, 2026, to support growing cargo and passenger services.
Allegiant Travel Company Announces Acquisition Agreement
Allegiant Travel Company announced a definitive agreement to acquire Sun Country Airlines for approximately $1.5 billion in a cash and stock transaction.
U.S. Department of Transportation Approves Merger
The United States Department of Transportation officially approved the merger between Allegiant Travel Company and Sun Country Airlines.
Shareholders Approve Acquisition
Shareholders of both Allegiant Travel Company and Sun Country Airlines approved the proposed acquisition.
Allegiant Completes Acquisition of Sun Country Airlines
Allegiant Travel Company officially completed its acquisition of Sun Country Airlines, creating a combined leading leisure-focused U.S. airline. Sun Country will continue to operate separately for an interim period.
🔍Deep Dive Analysis
Sun Country Airlines began its journey on July 2, 1982, founded by former Braniff International Airways employees, and commenced charter operations in January 1983. Initially focusing on leisure travel from the Upper Midwest to warmer destinations, the airline expanded into scheduled passenger service in 1995. However, the early 2000s proved challenging, leading to a suspension of operations in 2001 following the September 11 attacks and subsequent financial difficulties.
The airline experienced several ownership changes and financial restructurings, including an acquisition by Petters Group Worldwide in 2006, which ended in Chapter 11 bankruptcy in 2008 due to rising fuel costs and the revelation of a Ponzi scheme by its owner. A significant turning point came in 2017 when Apollo Global Management acquired Sun Country, initiating a strategic transformation into a hybrid ultra-low-cost carrier (ULCC). This new model emphasized cost efficiency, diversified revenue streams, and a focus on leisure and visiting friends and relatives (VFR) passengers.
A crucial element of this transformation was the establishment of a cargo business. In December 2019, Sun Country partnered with Amazon Air to operate cargo flights, a segment that proved vital for stability during the COVID-19 pandemic. This partnership expanded, with Amazon committing to transfer additional Boeing 737-800BCF aircraft, increasing Sun Country's cargo fleet to 20 freighters by the end of 2025 and an anticipated 22 by mid-2026. The airline successfully completed its Initial Public Offering (IPO) on March 17, 2021, listing on NASDAQ under the ticker symbol SNCY, raising significant capital for growth and debt repayment.
Sun Country continued its growth and diversification strategy into 2025 and early 2026, reporting strong financial performance with over $1.1 billion in revenue in 2025 and its 13th consecutive quarter of profitability by Q3 2025. The airline expanded its network, serving nearly 100 airports with 115 routes across the U.S., Canada, Mexico, Central America, and the Caribbean. In December 2025, Sun Country announced a new operational base at Cincinnati/Northern Kentucky International Airport (CVG), further supporting its cargo and passenger operations.
Current Status as of May 13, 2026: The most significant recent development is the acquisition of Sun Country Airlines by Allegiant Travel Company. The $1.5 billion deal was announced on January 11, 2026, received approval from the U.S. Department of Transportation on April 15, 2026, and was approved by shareholders on May 8, 2026. The acquisition officially closed on May 13, 2026. While the combined entity will be headquartered in Las Vegas, Allegiant has stated its commitment to maintaining a significant presence in Minneapolis-St. Paul. Sun Country will continue to operate under its own brand for an interim period as the two airlines work towards integrating operations and obtaining a single operating certificate.
What If...?
Explore alternate histories. What if Sun Country Airlines made different choices?