By Tom Gantert
Transportation Secretary Sean P. Duffy said that U.S. airlines will assist stranded passengers and displaced workers after Spirit Airlines said on Saturday it had ceased operations “effective immediately.”
The airline canceled its flights and said its passengers should not go to the airport.
Major carriers, including American, Delta, United, and Southwest, have agreed to cap or reduce fares for Spirit customers for a limited time, while other airlines are offering discounts or freezing prices on overlapping routes, according to a statement by the Transportation Department.
Passengers affected by Spirit Airlines’ shutdown may have limited and potentially delayed options for recovering their money. Spirit ticket holders were advised to seek refunds through their credit card issuer by requesting a chargeback for services not rendered.
Passengers could also check whether any travel insurance policy covers airline insolvency or service interruptions and file a claim in bankruptcy court—a process the Transportation Department said can take time and may result in only a partial refund.
Republicans and Democrats blamed each other for Spirit’s troubles.
Duffy blamed the Biden administration. “In blocking the Jetblue/Spirit merger in 2024, they turned their backs on the American consumer and our great aviation workforce,” Duffy said, according to the press release.
“Regardless of how we got here, the Trump Administration is committed to taking care of you and your family when you fly. In a matter of hours, we’ve activated our airline partners to ensure passengers are not stranded, communities maintain route access, fares do not skyrocket, and Spirit’s workforce is connected to new job opportunities.”
Democrats blamed it on the war with Iran.
“Spiking fuel prices from Trump’s war was the nail in the coffin for twice-bankrupted Spirit airline,” Sen. Elizabeth Warren (D-Mass.) said on X. “FWIW, JetBlue merger failed because a judge, appointed by Ronald Reagan, said the deal was illegal.”
Spirit Airlines cited the surge in fuel prices as a major factor in its closure.
“In March 2026, we reached an agreement with our bondholders on a restructuring plan that would have allowed us to emerge as a go-forward business,” said Dave Davis, Spirit’s president and CEO in a press release.
“However, the sudden and sustained rise in fuel prices in recent weeks ultimately has left us with no alternative but to pursue an orderly wind-down of the Company. Sustaining the business required hundreds of millions of additional dollars of liquidity that Spirit simply does not have and could not procure. This is tremendously disappointing and not the outcome any of us wanted.”
