Budget carrier Spirit Airlines has announced an immediate shutdown after failing to secure a proposed US government bailout worth $500 million.
The airline confirmed all flights had been cancelled and customers were advised not to travel to airports, with refunds being issued for bookings made by card.
The collapse comes after Spirit struggled through multiple bankruptcy filings and mounting financial pressure, worsened by soaring jet fuel prices linked to the conflict involving Iran.
Chief executive Dave Davis said rising fuel costs had destroyed hopes of restructuring the airline into a viable business, although US Transportation Secretary Sean Duffy argued the company’s problems predated the recent crisis.
The sudden closure has stranded thousands of passengers across the United States, prompting rival airlines including Delta Air Lines and United Airlines to offer discounted emergency fares. Unions representing Spirit workers blamed corporate mismanagement for the airline’s downfall.
Image credit: Forsaken Films
