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Airline Investors See a Post-Pandemic Rebound in Low-Cost Travel

Lean debt and cheaper planes are bolstering startups taking advantage of a coming vacation wave

United Airlines Launches Free Transatlantic Covid-19 Test Pilot Program
Photographer: Angus Mordant/Bloomberg
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New money is flowing to low-cost airlines in the U.S. as they take on giant carriers racing to recover from the unprecedented collapse in travel during the pandemic. 

Two established carriers that had already been flying sold shares in the past month, while two new airlines managed to raise more than $100 million each in a little over one year to cover startup costs. All four share a common trait: low operating costs and a customer base seeking affordable flights after more than a year of hunkering down close to home.