Could Spirit Cease Flying This Week? Here’s What We Know (and What We Don’t).

Embattled Spirit Airlines is in the news again for being, well, still embattled. Reports have emerged this week indicating that the low-cost carrier, which is still in bankruptcy protection, may be forced to liquidate its assets and stop flying as soon as this week.

None of this has been confirmed by the airline, but here’s what we know (and what we don’t) at this point.

Reporting Indicates Spirit May Liquidate This Week

People familiar with Spirit Airlines‘ situation say the budget carrier may liquidate this week, meaning it would halt all operations and sell its assets to generate the cash needed to pay its creditors and shareholders. That’s according to reporting from CNBC.

These reports are unconfirmed by the airline, but given its struggles, it wouldn’t be a surprise. We do know that a U.S. bankruptcy trustee urged the court to delay the airline’s exit from its second Chapter 11 bankruptcy in less than a year, despite the airline’s desire to proceed.

We also know that the global spike in oil prices is causing pain for airlines worldwide, with many of them raising fees to offset increased costs. Spirit is certainly not immune to this, further compounding its struggles. After expecting to make a profit in 2025, CNBC reports that the carrier lost almost $257 million in mere months after emerging from its first bankruptcy.

Spirit has been trying to downsize its operations to focus on core, high-performing routes and to lure bigger spenders with features like its Big Front Seat and bundled fares that include seat selection, baggage, and more.

What remains to be seen is whether Spirit’s creditors will be willing to extend the carrier more cash to keep it afloat. Discussions are ongoing, but we don’t yet have an indication of where they’ve led.

If Spirit were to liquidate, customers wouldn’t have much recourse, and the best plan of action would be to file chargebacks with your credit card company for tickets or other associated purchases. If and until that happens, though, you can expect operations to proceed as usual.

Final Thoughts

Could we see the end of Spirit Airlines this week? Rumors are swirling, though nothing is official yet. The carrier has been in a bad spot for quite some time, after enjoying several years of solid profitability.

The steep rise in fuel costs has only added to the bankrupt carrier’s problems, and if creditors don’t see a viable path back to profitability after an emergence from bankruptcy, they may decide to pull the plug and let the carrier go under.