Spirit Airlines shuts down, leaving travelers stranded

Spirit Airlines closed Saturday morning, with no options for those already booked on the airline.

“Unfortunately, despite the company’s efforts, the recent material increase in oil prices and other pressures on the business have significantly impacted Spirit’s financial outlook,” the airline said in a statement. “With no additional funding available to the company, Spirit had no choice but to begin this wind-down.”

All flights are canceled, and passengers shouldn’t go to the airport, Spirit said. Those who booked directly with the company will get refunds, but others should reach out to their travel agent or booking site, the company said.

The company reported around 17,000 employees as of the shutdown.

“We’ve activated our airline partners to ensure passengers are not stranded, communities maintain route access, fares do not skyrocket, and Spirit’s workforce is connected to new job opportunities,” Secretary of Transportation Sean Duffy said in a statement.

United, Delta, JetBlue and Southwest are all capping ticket prices for Spirit customers who now need to rebook cancelled flights, Duffy’s statement said. But those prices will only be available for 72 hours.

Spirit declared bankruptcy in 2024 and 2025. The company hoped to overcome its most recent bankruptcy, but high fuel prices brought on by the war in Iran have stymied those plans.

Last week, President Donald Trump said the government could buy the airline, and it has been working on a $500 million rescue plan that would give the government a large ownership stake. But the company couldn’t get support between bondholders and the government for the deal.

Trump told reporters at the White House Friday that an announcement about Spirit was coming within the next couple of days.

“I guess we’re looking at it. If we could do it, we’d do it, but only if it’s a good deal,” Trump said about a bailout plan. “But if we can’t make a good deal - no institution’s been able to do it. I said I’d like to save the jobs. ... I would say we’re driving a tough deal, but it’s one of those things. We will do it or we won’t.”

Spirit CEO Dave Davis explained the shutdown.

“The sudden and sustained rise in fuel prices in recent weeks ultimately has left us with no alternative but to pursue an orderly wind-down of the company,” Davis said in a statement. “Sustaining the business required hundreds of millions of additional dollars of liquidity that Spirit simply does not have and could not procure. This is tremendously disappointing and not the outcome any of us wanted.”

Spirit customer Angela Moreno told NBC News that she was planning to fly from Fort Lauderdale to Nashville for a wedding Saturday.

“The whole family is going there from different states, so it’s very shocking,” she said. “There’s many people who cannot attend the wedding as of now.”

She said she’s struggling to find replacement tickets.

“They’re refunding the tickets, but the only tickets right now are $600,” she said. “I hope the best for those people who really needed that flight.”

Henry Hartevelt, airline industry analyst at Atmosphere Research Group, told The Washington Post that Spirit was struggling long before the war. Bad business decisions, overexpansion and loss of focus caused its internal issues, and increased competition from other budget airlines added to its woes.

Spirit’s core demographic earns less than $80,000 per year, and those customers took the brunt of the inflation hit during the COVID-19 pandemic, he added.

“So [there’s] no single cause of Spirit’s demise, but Spirit has been teeter-tottering on the verge of shutting down for a long time,” Harteveldt told The Post. “It’s very unfortunate. More than [17,000] people may lose their jobs if it does shut down, and we lose an airline and a source of price competition.”

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This story was originally published May 2, 2026 at 7:32 AM.