West Palm Beach, Florida – Cash-strapped Spirit Airlines appeared closer to closure after Friday came and went without a needed government bailout.
President Donald Trump said Friday that his administration has given the budget carrier a “final proposal” for a flight Taxpayer-funded takeover to prevent it from collapsing, but the lack of a deal has put the airline’s future in doubt.
A person familiar with the matter said preparations were underway for Saturday’s closure. They spoke on condition of anonymity because they were not authorized to disclose classified information. There was no immediate news from Spirit Airlines or the Trump administration.
Trump I brought up the idea From the rescue plan last week after the airline found itself in bankruptcy proceedings for the second time in less than two years with Aviation fuel prices High due Iran war. Marshall Hubner, Spirit’s attorney, said about 17,000 jobs could be affected by the closure.
Spirit has struggled financially since the outbreak of the COVID-19 pandemic, hurt by rising operating costs and mounting debt. By the time It has been filed for Chapter 11 protection In November 2024, Spirit has lost more than $2.5 billion since the beginning of 2020.
The budget carrier has sought bankruptcy protection again In August 2025when it reported $8.1 billion in debt and $8.6 billion in assets, according to court filings.