Spirit Airlines has been struggling with financial problems for months.
According to Spirit Airlines CEO Dave Davis, the company managed to reach an agreement with creditors in March on a restructuring that would allow it to survive, but a sharp increase in fuel prices after the outbreak of war in the Middle East “leaves no choice but to gradually suspend operations” – the carrier said in a statement.
Low-cost airlines from the USA are closing their operations
Spirit Airlines, established in 1992, was one of the first low-cost airlines on the American market. According to data from the Ministry of Transport, from February 2025 to January 2026, they transported approximately 28 million passengers. In 2024, they employed over 11,000. people.
Fuel prices have more than doubled since the US-Israeli war with Iran broke out on February 28. Airlines for America, an American industry association and lobbying group, estimates that fuel costs could increase by about $24 billion compared to pre-conflict forecasts, leaving the industry with a multi-billion dollar financial gap.
The difficult situation in the Middle East is starting to hit the aviation industry and passengers more and more severely. Rising costs put airlines in a difficult situation. Fuel was already one of the industry's largest expenses, and now – after sharp increases – its share in operating costs is increasing even more.
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