Spirit Airlines Files for Bankruptcy Protection Again

LOS ANGELES, California — Spirit Airlines filed for Chapter 11 bankruptcy protection again on Friday, just months after it emerged from its previous bankruptcy proceedings in March. The budget airline has struggled to find a stable financial footing and reported a net loss of nearly $257 million since exiting bankruptcy in March.

CEO Dave Davis stated in a news release, “Since emerging from our previous restructuring, it has become clear that there is much more work to be done and many more tools are available to best position Spirit for the future.” The Dania Beach, Florida-based carrier indicated it will focus on reducing its network and fleet as part of the new restructuring efforts.

Spirit had initially forecast a net profit of $252 million for this year, but persistent high operational costs and weaker domestic demand have led to its financial woes. The airline previously underwent bankruptcy protection starting in November, where creditors agreed to exchange some debt for equity.

The airline is taking steps to cut costs, including removing planes and shrinking its operational footprint. Spirit’s efforts to recover have been further complicated by a Pratt & Whitney engine recall and a failed takeover attempt by Frontier Airlines that was blocked in court.

<p"In recent weeks, Spirit’s aircraft lessors have reached out to rival airlines to gauge interest in some of its planes, illustrating the depth of the airline's crisis. Despite previously being the largest budget carrier in the U.S., competition from Frontier Airlines, which has attempted to merge with Spirit multiple times since 2022, continues to intensify.

Representatives for Spirit Airlines did not immediately respond to requests for comment after the filing. This story is developing, and updates will be provided as more information becomes available.