Quantcast

Spirit Airlines prepares for post-bankruptcy future under new ownership

Airport Workers Save the Day After Woman Loses Diamond from Her Engagement Ring in Baggage Carousel
I never talk to strangers on the plane. After my dad died, a passenger helped me talk about my grief.
American Airlines reveals new summer route: Miami → Rome
Budget UK airline launches huge sale with £29 flights to 475 holiday hotspots – but you’ll have to be quick
Delta Passengers Can Book a ‘Last Mile’ Private Jet Charter to Europe This Summer
Honeywell Runway Safety Technology Selected by Southwest Airlines for Fleetwide Installation
Southwest Airlines Adds Cockpit Alerts to Boost Runway Safety
This Airline Is Going to Start Handing Out $675 Fines to 'Unruly' Passengers: 'It Is Unacceptable'
Summer of savings? New analysis shows airfare has dropped significantly - The Points Guy
Travelers are taking extreme measures and using hacks to avoid airline baggage fees
Pigeons Cause Chaos on Delta Flight
United Airlines’ Uniforms Get A Facelift—And A Political Filter
United Continues to Face Catering Chaos at San Francisco
Passenger Stows Away on Delta Flight from New York to Paris
Wizz Air becomes first airline to operate P&W-powered Airbus A321XLR jet
Hawaiian Airlines’ new ‘no show’ policy may make travel more expensive
BLIMP-SE OF THE FUTURE Luxury zeppelins of the future from ‘flying bum’ world’s largest aircraft to Google billionaire’s ‘impossible’ airship
Swiss Startup SmartFlyer Develops Hybrid-Electric Trainer
San Francisco-based entrepreneur takes a trip on India's worst-rated airline, his reaction will surprise you
First-Time Flyer at 81: A Grandmother's Memorable Journey
Ryanair forecasts fare rebound as consumers recover from interest-rate hit
Alaska Airlines' “Aviation Day” inspires future aviators
Global Airlines Launches Inaugural Flight, Aiming to Revive 'Golden Age of Travel'
Winning routes: American Airlines adds more than 22,000 seats for football fans following release of 2025–2026 pro schedule
Boeing scores Middle East plane deal during Trump visit
Air travel will be ‘worse’ this summer, lawmakers warn — as FAA gives infuriating update on system fixes, staffing issues
Qatar Airways places record $96 billion Boeing order amid Trump visit
United Airlines CEO Reassures Passengers About Newark Airport Safety
American Testing Tech to Help Passengers Make Connecting Flights
British Airways to use AI in efforts to improve operations
Spirit Airlines prepares for post-bankruptcy future under new ownership
Policy
Webp received 1890220158179653
Ted Christie Spirit's President and CEO, | Spirit Airlines

Spirit Airlines is on the verge of emerging from Chapter 11 bankruptcy after a US bankruptcy court confirmed its reorganization plan. The airline will exit bankruptcy through a take-private deal, transferring control to its major bondholders.

The United States Bankruptcy Court for the Southern District of New York approved Spirit's independent 'Plan of Reorganization.' Judge Sean Lane presided over the case and gave his approval despite challenges from the Department of Justice's United States Trustee Program (USTP) and the Securities and Exchange Commission (SEC).

The plan involves transferring ownership to primary lenders such as Citadel Advisors, Pacific Investment Management Company, and UBS Asset Management. Additionally, it includes voiding existing equity shares, converting $795 million of debt into equity, raising $350 million through new equity shares, opening a $300 million revolving credit facility, and issuing $840 million in new senior secured debt to existing bondholders.

Get the Newsletter
Sign-up to receive weekly round up of news from Sky Industry News
By submitting, you agree to our Privacy Policy and Terms of Service. By providing your phone number you are opting in and consenting to receive recurring SMS/MMS messages, including automated texts, to that number from our short code. Msg & data rates may apply. Reply HELP for help, STOP to end. SMS opt-in will not be sold, rented, or shared.

Ted Christie, Spirit's President and CEO, stated: "We will emerge as a stronger airline with the financial flexibility to continue providing Guests with enhanced travel experiences and greater value."

Facing around $1.6 billion in debts and declining demand due to competition from budget fares offered by rivals, Spirit plans to enhance passenger experience with a new premium economy product, seat upgrades, free WiFi, complimentary refreshments, among other improvements.

The carrier aims to transform key areas by increasing less-than-daily routes, removing unproductive markets, and reducing capacity during off-peak periods. Christie highlighted "virtually unanimous support from bondholders" for their reorganization process.

Spirit has decided against merging with Frontier Airlines despite previous acquisition attempts by Frontier in 2022. JetBlue initially secured a deal with Spirit but faced antitrust challenges leading to its cancellation. Frontier renewed merger attempts but was rejected by Spirit this month.

The airline plans cost-cutting measures including fleet size reduction and job cuts affecting around 200 employees primarily in administrative roles. Christie emphasized that operations would remain unaffected during the ongoing bankruptcy process as Spirit continues flying to about 80 airports.

Currently operating nearly 200 Airbus A320 and A321 aircraft models including both ceo and neo variants; last year Spirit announced selling 23 planes for $519 million—nearly 10% of its total fleet—and grapples with issues related to Pratt & Whitney's GTF engines causing significant grounding for inspections or overhauls.

Organizations Included in this History
More News

American Airlines, known for its extensive network of hub airports, once operated a significant hub at St. Louis Lambert Airport (STL) in Missouri.

Jul 4, 2025

Qantas Airways has reported a cyber attack targeting one of its contact centers, leading to a potential data breach affecting up to six million customers.

Jul 4, 2025

The Transportation Security Administration (TSA) is experiencing a significant increase in airline travel.

Jul 4, 2025

Brazilian aircraft manufacturer Embraer has reported continued interest in its E2 jet family, following a successful presentation at the Paris Air Show.

Jul 4, 2025

London Heathrow Airport is experiencing a busy schedule of Airbus A380 flights this July, with 21 daily departures on most days.

Jul 4, 2025

Earlier this year, an easyJet flight from London Gatwick to Marrakesh diverted to Faro, Portugal, due to a passenger's disruptive behavior.

Jul 4, 2025