Spirit Airlines finance chief to join car rental firm Hertz

Spirit Airlines CFO Scott Haralson is leaving the airline to join car rental company Hertz Global Holdings as its finance chief, the companies said on Monday.

Shares of both Spirit and Hertz were up over 2% in premarket trading.

The transition at Spirit comes at a time when the carrier has been losing money despite booming travel demand, raising questions about its ability to manage debt that is due to mature in 2025 and 2026.

The ultra-low-cost carrier, last month, forecast a loss for the second quarter as its earnings continue to reel from the grounding of a number of its aircraft, as well as bloated industry capacity in key markets.

Meanwhile, Hertz is reported to be exploring options to raise financing as it struggles with the EV rental business.

Haralson, who has held key financial roles at Dish Network and Frontier Airlines, will join Hertz the end of June and will succeed Alexandra Brooks.

Spirit named Brian McMenamy as its interim CFO effective June 14, while it searches for a permanent replacement.

Hertz added its chief operating officer Justin Keppy would resign from the company, effective June 3.