Spirit Airlines to shutter after no Trump deal: What to know

Spirit Airlines on Saturday announced that it shut down all operations after failing to not reach a deal for a government bailout.

The Trump administration drafted a $500 million bailout plan to save Spirit from ceasing operations, a plan that several Trump allies in Congress opposed. The plan was opted in exchange for warrants to purchase up to 90 percent of the new entity, people familiar with the deal told Bloomberg.

“We’re looking at trying to help them. It’s something we’re not looking to get involved with, but if we can, it’s 14,000 jobs,” President Trump told reporters at the White House on Friday.

Spirit lost more than $25 billion since the start of 2020 amid the COVID-19 pandemic and faced rising operating costs and growing debt, The Associated Press reported. The airline filed for Chapter 11 protection in November 2024.

“Spiking fuel prices from Trump’s war was the nail in the coffin for twice-bankrupted Spirit airline,” Sen. Elizabeth Warren (D-Mass.) said in a post on the social platform X. “Republicans are desperate to shift blame from higher costs hitting families.”

Spirit’s parent company, Spirit Aviation Holdings, determined it will wind down operations in response to rising fuel prices. All Spirit flights were cancelled and travelers were urged to “not go to the airport.”

Transportation Secretary Sean........

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