Spirit Airlines announced Sunday that it has largely completed refunding passengers and returning crew after its abrupt operational shutdown. The low-cost carrier stated that most card refunds were processed by Saturday evening, with a small percentage still pending. Around 1,500 crew members were rebased, and other airlines offered discounted rescue fares for stranded travelers.
Abrupt Closure After 34 Years
The airline announced early Saturday morning that it would shut down operations immediately after 34 years in business, leaving thousands of passengers scrambling to rebook travel on other carriers. Spirit operated hundreds of daily flights across the United States and employed 17,000 people.
Failed Rescue Talks
Spirit had been in discussions with the Trump administration about a $500 million rescue package, but no deal was reached. The effort stalled because the airline was unable to secure necessary backing from bondholders and government stakeholders, according to sources familiar with the matter who spoke to the Wall Street Journal on Friday.
“We are proud of the impact of our ultra-low-cost model on the industry over the last 34 years and had hoped to serve our guests for many years to come,” the company said in a statement.
Government Response
Transportation Secretary Sean Duffy held a press conference at Newark Liberty International Airport shortly after the announcement to update on refunds and stranded employees. “If you have a flight scheduled with Spirit Airlines, don’t show up at the airport; there will be no one here to assist you,” he said. “If you bought a ticket and hadn’t flown that ticket yet, the dollars you used to buy the ticket, those are held in reserve by Spirit Airlines so that money is there and so refunds will flow, we feel really comfortable that you will get a refund.”
Other airlines, including American Airlines, are offering assistance by flying stranded Spirit crew members home free of charge.
