US EditionSpirit Airlines announces it will shut down after negotiations for a federal bailout fell short
The airline cited soaring fuel costs and failed rescue talks after two bankruptcy filings, leaving about 17,000 workers affected, officials said.
- On Saturday, the Trump administration announced a relief plan for travelers impacted by Spirit Airlines' shutdown after a government bailout deal failed to materialize. Transportation Secretary Sean Duffy announced that United, Delta Air Lines, and Southwest will cap ticket prices for affected passengers.
- Spirit President and CEO Dave Davis cited a "sudden and sustained rise in fuel prices in recent weeks" as the reason for the wind-down. Duffy previously blamed the Biden administration for blocking a 2024 merger with JetBlue, which led the company to file for Chapter 11 bankruptcy.
- American Airlines and Delta Air Lines are offering reduced fares on high-volume Spirit routes, while Frontier is offering up to 50% off base fares across its network until May 10 to support impacted travelers.
- Travelers are advised to request a "chargeback" from their card issuer for services not rendered, while Spirit will automatically process refunds for credit or debit card payments. Alternatively, travelers can file a formal "proof of claim" with a bankruptcy court.
- Both American Airlines and United are creating microsites for Spirit employees seeking to continue a career in aviation, Duffy said. Most airlines will also extend travel pass benefits and offer preferential employment interviews to ease employee transitions.
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Spirit Airlines ceases operations
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