Spirit Airlines Shuts Down

Spirit Airlines, the largest ultra-low-cost carrier in the U.S., ceased operations early Saturday morning, following its second round of Chapter 11 bankruptcy and failed bailout talks with the Trump administration. 

Spirit spent its final weeks pitching the Trump administration for a bailout to keep it afloat. The bailout would have included a $500 million loan in exchange for as much as a 90% stake in the carrier and the package would have put the government ahead of other bondholders. 

However, Spirit’s bondholders did not support the arrangement, talks hit an impasse, and Spirit did not have enough cash to continue operations. 

Spirit came to the scene in the mid-2000s as a major disruptor to the airline industry. The carrier championed bare bones service and unbundled fares, and was known for its cheeky advertising. Customers had a love-hate relationship with the carrier. Spirit largely pioneered the modern ultra-low-cost model in