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Spirit Airlines Shuts Down Due to Iran War Fuel Crisis. Other Low-Cost Airlines Could Be Next

24 articles / 13 outlets / spread 0.53

Spirit Airlines Shuts Down Due to Iran War Fuel Crisis. Other Low-Cost Airlines Could Be Next
aviation11 hr agoCenter-dominant coverage

Spirit Airlines Shuts Down Due to Iran War Fuel Crisis. Other Low-Cost Airlines Could Be Next

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24 articles13 outletsSpread 0.5312 claims

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  • PBS NewsHour·May 2

    Spirit Airlines goes out of business after 34 years, ceases operations immediately

    WEST PALM BEACH, Fla. (AP) — Spirit Airlines, an impish upstart that shook the industry with its irreverent ads and deep discount fares, announced Saturday that it has gone out of business after 34 years. The ultralow cost airline that once operated hundreds of daily flights on its bright yellow planes and employed about 17,000 people said it had "started an orderly wind-down of our operations, effective immediately." The airline said on its website that all flights have been canceled and customer service is no longer available. Some passengers arrived Saturday for flights and were stunned to find them canceled, while workers learned overnight they were out of a job. READ MORE: Trump says a 'final proposal' to rescue Spirit Airlines is under consideration "We are proud of the impact of our ultra-low-cost model on the industry over the last 34 years and had hoped to serve our guests for many years to come," Spirit's announcement said. U.S. Transportation Secretary Sean Duffy said Saturday that Spirit had a reserve fund set up for customers who bought directly from the airline to get refunds. People who bought from third-party vendors like travel agents would have to seek refunds from them. He

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Outlets covering this story

Fox NewsThe AtlanticUSA TodayCNNNBC NewsThe GuardianNewsweekThe VergePBS NewsHourAssociated PressTIMEThe Washington TimesThe Daily Wire

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May 1, 2026

Latest

May 3, 2026

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  • USA Today·May 2

    Your Spirit flight was canceled. How do you get a refund?

    Updated May 2, 2026, 1:48 p.m. ETSpirit Airlines is shutting down. All flights have been canceled and customer service is no longer available, "effective immediately," the airline announced early Saturday, May 2.Customers who had upcoming flights booked on the airline have been left scrambling for alternatives, but they may be able to recoup the cost of their tickets, depending on how they paid."If you bought a ticket and hadn't flown that ticket yet, the dollars that you used to buy the ticket, those are held in reserve by Spirit Airlines," Transportation Secretary Sean Duffy said during a press conference at Newark Liberty International Airport. "That money is there, and so refunds will flow to the original form of payment for those who have booked a ticket. So yeah, we feel very comfortable that you will get a refund for the portion of the flight that you didn't fly."Spirit will automatically process refunds for customers who purchased tickets by credit card or debit card, the airline posted on X.Customers who booked through a travel agent are directed to contact their travel agent for refund requests.Customers who booked flights with vouchers, flight credit, Free Spirit miles or any other means will have

  • CNN·May 2

    Travel plans upended as Spirit Airlines shuts down, leaving passengers scrambling for other options

    Terminal A at LaGuardia Airport sat unusually quiet Saturday morning — no lines at the counters, no Spirit Airlines staff anywhere, just a sheet of paper taped over a cardboard sign. “We regret to inform you that Spirit Airlines has ceased global operations,” read the sign in Terminal A, where Spirit operated in New York City for years. “All Spirit flights have been cancelled, and customer service is no longer available.” Above it, a departures board flickered with a string of red notices: nine Spirit flights bound for cities across Texas, Florida, Michigan, North Carolina and South Carolina — all marked simply, “cancelled.” Saturday’s shutdown of Spirit — the pioneering budget airline that reshaped low-cost travel — has stranded thousands of passengers nationwide. The company canceled all flights, halted customer service and told travelers not to come to the airport. Customers are being issued refunds and instructed to rebook with other airlines. ATC audio captures what could be Spirit Airlines’ final arriving flight 0:16 • Source: CNN ATC audio captures what could be Spirit Airlines’ final arriving flight 0:16 Spirit’s collapse marks the first time in 25 years a major US airline has gone out of business due to financial

  • The Guardian·May 2

    Political blame game begins and passengers left adrift after Spirit ceases operations

    US airlines and government officials battled on Saturday to deal with stranded passengers and stricken employees after discount carrier Spirit Airlines abruptly ceased operations – and a political and business blame game got under way over the collapse of the low-cost carrier.“If you have a flight scheduled with Spirit Airlines, don’t show up at the airport; there will be no one here to assist you,” the US secretary of transportation, Sean Duffy, warned at a press conference after laying out measures for customers booked with the Florida-based company to obtain refunds or find discounted flights on other airlines.Spirit’s airport check-in desks sat empty across the country on Saturday after the company went out of business in the early hours, posting on its website that after 34 years of flying it had “started an orderly wind-down of our operations, effective immediately”.At the Orlando international airport overnight, a digital departure display sign was filled with bright red notifications of canceled Spirit flights.There were no more Spirit planes in the air, with their distinctive bright yellow paint, after the last flight landed in Dallas, Texas, after midnight and Spirit’s management announced it was the end, after talks for a government rescue failed.The Spirit

  • Associated Press·May 2

    From rock-bottom fares to final flight: Spirit Airlines' journey ends | AP News

    Spirit Airlines, the scrappy discounter that once rattled the industry with cheeky ads and rock-bottom fares, took its final flight after 34 years of upending the business of flying.Once worth as much as roughly $5.5 billion on the stock market, the airline known for its bright yellow planes said Saturday it had shut down after its final flight departed from Detroit and landed safely in Dallas.“For more than 30 years, Spirit Airlines has played a pioneering role in making travel more accessible and bringing people together while driving affordability across the industry,” CEO Dave Davis said in a statement.The announcement comes after two bankruptcy filings in as many years that allowed Spirit to repay lenders. That was followed in recent months by a final, mad-dash scramble to save money by cutting routes, squeezing concessions from unions and pursuing a potential financing deal with the Trump administration that could have provided a lifeline had it panned out. But in the end, higher jet fuel prices triggered by the Iran war drained cash from the business at an accelerating pace, forcing it to call it quits.“This is tremendously disappointing and not the outcome any of us wanted,” Davis said. 4 MIN READ

  • USA Today·May 2

    Airlines rush to help stranded Spirit passengers with rescue fares

    Updated May 2, 2026, 12:26 p.m. ETSpirit Airlines ceased operations on May 2, canceling all flights and leaving passengers to find new travel arrangements.The airline will provide refunds for tickets purchased directly but will not rebook passengers on other carriers.Multiple other airlines, including American, United, and Delta, are offering discounted or capped fares to assist stranded Spirit passengers.Spirit Airlines shuttered operations in the early hours of May 2, canceling all flights and leaving thousands of passengers scrambling to rebook.The company said in a statement on social media that it would not be able to assist with rebooking passengers on other airlines, but added that refunds would be available immediately for passengers who purchased their tickets through Spirit's website with a credit or debit card.Transportation Secretary Sean Duffy said other airlines were stepping in to help get Spirit's passengers home."Following conversations with the Department of Transportation, America Airlines, United, Delta, JetBlue, Southwest, Allegiant, Frontier, Avelo, and Breeze have all agreed to support impacted Spirit passengers in different ways," the DOT's statement said.Broadly, many airlines are offering reduced fares to passengers with canceled Spirit tickets, or capped fares on routes where they competed with Spirit.United, Delta, JetBlue and Southwest are all capping

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    From the Right

    5 outlets
    • NBC News·May 2

      Spirit Airlines shuts down, crushed by price of Iran war jet fuel

      Spirit Airlines is shutting down with immediate effect in a move that will affect thousands of scheduled flights and nearly as many employees.The troubled budget carrier canceled all flights and announced an “orderly wind-down” of operations early Saturday.“To our Guests: all flights have been cancelled, and customer service is no longer available,” the company said in a statement.Spirit, which has struggled to maintain consistent profitability since the Covid-19 pandemic, had been looking to emerge from its second bankruptcy in less than a year. But those plans were derailed amid soaring jet fuel costs sparked by the outbreak of the war with Iran.Spirit Airlines aircraft in Las Vegas last year. While it only ever carried a small slice of the flying public, Spirit's profitability was, at one point, among the top three of major U.S. airlines.Kevin Carter / Getty Images file“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 company’s statement said. “With no additional funding available to the company, Spirit had no choice but to begin this wind-down.”Last month, Spirit approached the White House for financial assistance, and President Donald Trump initially appeared receptive. But

    • The Washington Times·May 2

      Trump administration lays groundwork for relief plan for Spirit Airlines customers, employees

      Transportation Secretary Sean Duffy unveiled a relief plan for Spirit Airlines customers and employees following the airline’s shutdown early Saturday. Four major airlines — United, Delta, JetBlue and Southwest — will cap ticket prices for Spirit customers who need to rebook cancelled flights, and customers who can validate their purchase will be offered a one-way ticket costing around $200, he announced. American Airlines and Delta Air Lines will also be offering reduced fares on high-volume Spirit routes. Allegiant will freeze fare prices across routes that overlap with Spirit, and Frontier will be offering up to 50% off base fares across its network until May 10. “I would recommend that if you have a ticket with Spirit that you actually try to book with these airlines as soon as possible, these offers are not going to be open forever,” Mr. Duffy said. The now-defunct airline will automatically process refunds to travelers who paid with a credit or debit card, and they may request a “chargeback” from their card issuer for services not rendered or go through their travel insurance provider to see if the policy covers insolvency or service cessation. Travelers may also file a formal “proof of claim” with a

    • TIME·May 2

      Spirit Airlines Shuts Down Due to Iran War Fuel Crisis. Other Low-Cost Airlines Could Be Next

      The low-cost Spirit Airlines announced Saturday that it has officially gone out of business after years of financial hardship, citing rising fuel costs resulting from the Iran War as the final straw.The company said it had undergone “extensive and comprehensive efforts to restructure the business” following two bankruptcy filings in 2024 and 2025, but added that the “sudden and sustained rise in fuel prices in recent weeks ultimately has left us with no alternative.”The airline informed customers that all flights had been canceled, and that refunds were being processed, but that they should look to rebook flights with other providers.Spirit Airlines was founded in 1983 as Charter One Airlines, a charter tour operator. It was rebranded as Spirit in 1992, becoming a passenger airline and a pioneer of low-cost air travel, offering pared-down services in exchange for cheap base fares. It flew around 30 million passengers in 2025, reflecting a sharp drop from a peak of over 44 million in 2023 and 2024, according to President Donald Trump and his Administration floated a potential $500 million federal bailout for the Florida-based airline, but bondholders could not reach an agreement on how to restructure and ultimately save the company with the

    • USA Today·May 2

      Trump made 'significant effort' to avoid Spirit Airlines shutdown

      Updated May 2, 2026, 1:48 p.m. ETThe Trump administration made "a significant effort" to find a way to prevent Spirit Airlines' shutdown on Saturday, but couldn't pull it off, Transportation Secretary Sean Duffy said."There was a number of ideas being floated on how the government could step in and be helpful to Spirit Airlines," Duffy said Saturday, May 2, in a news conference at Newark Liberty International Airport. "The president was like a dog on a bone trying to figure out a way to keep Spirit afloat."Talks had been ongoing about a possible $500 million bailout for the low-cost airline. Trump was concerned about Spirit Airlines employees and its customers, Duffy said."In the end, this was a creditor issue," Duffy said. "They have the final say of whether they want to do a deal with the government, but also from the government's perspective, we oftentimes don't have a half a billion dollars laying around in a spare account that we can put into a bailout of an airline. So, there was creative thinking on how it could happen. … In the end, a deal couldn't be reached."Transportation secretary says Spirit Airlines had been in 'dire straits'Low-cost airlines had approached the

    • Fox News·May 3

      Duffy blames Biden-Buttigieg team for Spirit Airlines collapse after blocked merger

      NEWYou can now listen to Fox News articles! Transportation Secretary Sean Duffy said Sunday that the collapse of Spirit Airlines followed former President Joe Biden's administration’s decision, alongside former Transportation Secretary Pete Buttigieg and the U.S. Department of Justice, to block a proposed merger with JetBlue, after the airline ceased operations early Saturday morning and entered liquidation."The Joe Biden-Pete Buttigieg administration and DOJ tanked that deal," Duffy said on ABC’s "This Week." "Immediately after that, they filed for bankruptcy."Duffy’s remarks came as Spirit halted all flights at approximately 3 a.m. Saturday, closed call centers and ticket counters and began what he described as an "orderly liquidation process," while federal officials and airlines moved to assist affected passengers.Duffy said the shutdown left no operational support for travelers. Transportation Secretary Sean Duffy says Spirit Airlines’ shutdown traces back to Washington blocking its last shot at survival, leaving planes grounded and passengers scrambling. (Yuki Iwamura/AP Photo)BUDGET AIRLINE BLASTED IN VIRAL VIDEO AS ‘PERFECT HONEYMOON WEEK’ ENDS IN TRAVEL CHAOS"Spirit does not have airplanes in the air flying as of this morning," Duffy said. "If you have a flight scheduled with Spirit Airlines, don't show up at the airport. There will be no one

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