United Airlines has announced the addition of several new routes to Florida, capitalising on the market gap left by Spirit Airlines' sudden collapse. The low-cost carrier ceased operations early on Saturday after running out of cash and failing to secure a rescue deal with the Trump administration.
The US Department of Transportation confirmed that major airlines, including United, Delta, JetBlue and Southwest, have agreed to cap ticket prices for Spirit customers needing to rebook cancelled flights. Spirit operated hundreds of daily flights and employed about 17,000 people before its shutdown.
Transportation Secretary Sean Duffy said the government does not plan to bail out other struggling low-cost carriers, despite them seeking $2.5bn in relief due to high jet fuel prices. He stated that the government would act only as a 'lender of last resort'.
Spirit's collapse followed failed merger talks with JetBlue and American Airlines, and a rejected government proposal to take a 90% stake. The airline will process refunds for tickets purchased by credit or debit card, and affected passengers can also contact their card issuers under the Fair Credit Billing Act.
