On May 2, US-based low-cost carrier Spirit Airlines announced that it had started an orderly wind-down of operations with immediate effect. All flights have been cancelled and passengers are advised not to go to the airport.
The wind-down follows what the airline describes as extensive and comprehensive efforts to restructure and strengthen its financial position. According to its statement, the recent material increases in oil prices and other pressures on the airline significantly impacted Spirit's financial outlook.
"In March 2026, we reached an agreement with our bondholders on a restructuring plan that would have allowed us to emerge as a go-forward business,” said Dave Davis, President and CEO of Spirit Airlines. “However, 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. Sustaining the business required hundreds of millions of additional dollars of liquidity that Spirit simply does not have and could not procure.”
Spirit will automatically process refunds for any flights purchased directly through Spirit with a credit or debit card, to the original form of payment. Travel agents are required to handle their clients’ bookings.
Compensation for passengers who booked flights using any other methods, including a voucher, credit or Free Spirit points, will be determined at a later date through the bankruptcy process.
