US EditionSpirit Airlines Reached Out to Trump Administration for Emergency Bailout
The airline says a fuel-price spike has doubled costs and could force liquidation, while officials weigh emergency support and possible passenger fallout.
- On Friday, Spirit Airlines requested an emergency bailout from the Trump administration to avoid liquidation amid skyrocketing fuel costs, CBS News has learned.
- Jet fuel prices, constituting more than 40% of operating expenses, surged since the Iran conflict began in February, compounding strain from two bankruptcies and a failed merger with JetBlue Airways.
- Airline industry analyst Henry Harteveldt told CBS News Wednesday that "Spirit is flying on financial fumes," urging passengers to secure backup reservations immediately.
- Transportation Secretary Sean Duffy will meet with Spirit executives and other low-cost carriers next week to discuss industry challenges, as reports indicate potential liquidation within days.
- Experts recommend booking refundable backup flights and disputing charges via credit card if needed. Nick Ewen, editor at The Points Guy, advised, "It's really important that you keep an eye on your reservations.
87 Articles
87 Articles
The Detroit News
New Hampshire Union LeaderSaving Spirit Airlines possibly puts 'good money after bad', Transportation head Duffy says
U.S. Transportation Secretary Sean Duffy on Tuesday raised concerns about using government funds to rescue low-cost bankrupt airline Spirit Airlines.
Trump raises prospect of federal support or merger as Spirit Airlines struggles with costs and debt | KNX News 97.1 FM
President Donald Trump is suggesting the federal government could help keep Spirit Airlines afloat while also calling for a buyer to step in | KNX News 97.1 FM
Associated Press News
Trump raises prospect of federal support or merger as Spirit Airlines struggles with costs and debt
President Donald Trump is suggesting the federal government could help keep Spirit Airlines afloat while also calling for a buyer to step in.
Trump says he wants 'somebody' to buy Spirit Airlines, opposes United-American merger
President Donald Trump on Tuesday said he wants to see someone purchase Spirit Airlines, with the low-cost carrier facing headwinds as it looks to exit bankruptcy.Trump was interviewed on CNBC's "Squawk Box" and said, "I don't mind mergers" and suggested that could help resolve the issues Spirit faces."You know, Spirit's in trouble, and I'd love somebody to buy Spirit. It's 14,000 jobs, and maybe the federal government should help that one out,"…
Pittsburgh Post-Gazette
Spirit floats government stake to avoid possible liquidation
Spirit Aviation Holdings Inc. has floated offering the U.S. government an equity stake in the discount carrier to help stave off its potential liquidation,...
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