Spirit Airlines Stops Flying Immediately and Winds Down All Operations. Complete Guide on What to Do is Included.

Spirit Airlines stops flying immediately and winds down all operations after almost 34 years in business in its most recent iteration, as all efforts to save the airline from its demise have failed — including a bailout of $500 million from the federal government of the United States. A complete guide on what to do next is included in this article if you are directly affected by this situation.

Spirit Airlines Stops Flying Immediately and Winds Down All Operations. Complete Guide on What to Do is Included.

Photograph ©2024 by Brian Cohen.

“All Spirit flights have been cancelled, and Spirit Guests should not go to the airport”, according to this official announcement from Spirit Aviation Holdings, Incorporated, which is the parent company of Spirit Airlines. “The wind-down follows the Company’s extensive and comprehensive efforts to restructure the business and pursue transactions to strengthen Spirit’s financial position and create a sustainable path forward. Unfortunately, despite the Company’s efforts, the recent material increase in oil prices and other pressures on the business have significantly impacted Spirit’s financial outlook. With no additional funding available to the Company, Spirit had no choice but to begin this wind-down.”

Refunds will automatically be processed to the original form of payment for any tickets for flights that were purchased through Spirit Airlines with a credit or debit card. “Guests who booked flights via a travel agent should contact the travel agent directly to request a refund”, according to the aforementioned announcement. “Compensation for Guests who booked flights using any other methods, including a voucher, credit or Free Spirit points, will be determined at a later date through the bankruptcy process.”

Additional information as to the next steps that customers should consider taking are found here.

History of Spirit Airlines

Photograph ©2015 by Brian Cohen.

Spirit Airlines traces its history back to Clipper Trucking Company, which was founded in 1964. After changing its name to Ground Air Transfer, Incorporated in 1974, the airline service was founded in Macomb County in Michigan, by Ned Homfeld as Charter One Airlines in 1983. The new charter tour operator provided travel packages to entertainment destinations such as Atlantic City, Las Vegas, and the Bahamas. When jet airplanes were introduced to the fleet of Charter One Airlines on Friday, May 29, 1992, the name was changed to Spirit Airlines and scheduled flights between Detroit and Atlantic City began three days later on Monday, June 1, 1992.

Provocative commercials were part of the advertisement campaigns of Spirit Airlines. From advertisements that poked fun at the scandal surrounding the controversial little indiscretion of Anthony Weiner with its BIG Weiner Sale to the Governator’s Divorce and at the name of Virgin America’s name to Many Islands Low Fares — or MILF for short. Even a sale pertaining to Tiger Woods was called the Eye of the Tiger sale.

Although the airline has had some successful years, it has also had a checkered history. For example, all flights operated by Spirit Airlines were canceled on Saturday, June 12, 2010 because all pilots walked out after almost three years of negotiations over pay and benefits. Instead of cash refunds, the airline only offered credit on future flights to customers — but affected passengers were also offered a $100 Future Flight Credit in addition to full credit on what was paid for the canceled flights.

As part of its business model, Spirit Airlines kept increasing fees — such as a fee of $100.00 for using the overhead storage bin compartments aboard airplanes that became effective as of Tuesday, November 6, 2012, which was $45.00; and higher baggage fees that were announced just in time for the holiday season on Monday, September 22, 2014.

The year 2016 started off with Ben Baldanza being abruptly replaced by the former chief executive officer of AirTran Airways as the chief executive officer of Spirit Airlines. Ben Baldanza led the commercial airline industry in its push for more and more ancillary airline fees ever since he became the chief executive officer of Spirit Airlines back in 2006; and the airline was transformed from losing money to becoming one of the most profitable airlines in the United States — if not the world — as I first reported in this article on Thursday, May 9, 2013. Ben Baldanza passed away on Tuesday, November 5, 2024 at 62 years of age.

Spirit Airlines experienced what it called “operational challenges” in some areas of its network on Monday, August 2, 2021 that resulted in a cancellation of its entire schedule.

Photograph ©2025 by Brian Cohen.

A definitive merger agreement was announced on Monday, February 7, 2022 between Frontier Group Holdings, Incorporated and Spirit Airlines, Incorporated — which are the respective parent companies of Frontier Airlines and Spirit Airlines — which would have resulted in the creation of the fifth largest airline in the United States once the merger had completed…

…but in a surprise move, JetBlue Airways confirmed on Tuesday, April 5, 2022 that a proposal has been submitted to the board of directors of Spirit Airlines with the intent to acquire the airline for $33.00 per share in cash, which implied a fully diluted equity value of $3.6 billion and provided full and certain value to the shareholders of Spirit Airlines.

The board of directors at Spirit Airlines voted to terminate its merger with Frontier Airlines on Wednesday, July 27, 2022 and move forward with ongoing discussions with JetBlue Airways pertaining to a possible merger.

JetBlue Airways would acquire Spirit Airlines for $33.50 per share in cash as announced on Monday, August 1, 2022, which included a prepayment of $2.50 per share in cash payable upon the approval of the transaction of the stockholders of Spirit Airlines — and a ticking fee of $0.10 per month starting in January 2023 through closing — for an aggregate fully diluted equity value of $3.8 billion and an adjusted enterprise value of $7.6 billion. This proposal was approved by stockholders of Spirit Airlines on Wednesday, October 19, 2022…

Photograph ©2022 by Brian Cohen.

…but on Tuesday, March 7, 2023, the Justice Department of the United States — along with the attorneys general of the Commonwealth of Massachusetts, the state of New York, and the District of Columbia — sued to block acquisition of Spirit Airlines by JetBlue Airways, citing that the result would harm travelers in the United States due to further concentration and consolidation of the commercial aviation industry, which would result in higher fares and fewer choices across the country for tens of millions of travelers.

As a result of the lawsuit, the merger agreement between JetBlue Airways and Spirit Airlines officially terminated on Monday, March 4, 2024 instead of the combined entity becoming the fifth largest airline in the United States.

Despite being known as an airline which charged fees for just about everything, change fees and cancellation fees were eliminated on Spirit Airlines effective as of Sunday, May 19, 2024. No official explanation was offered as to why the airline adopted this policy.

On Monday, November 18, 2024, Spirit Airlines, Incorporated filed voluntary petitions for reorganization and protection under Chapter 11 in the United States Bankruptcy Court for the Southern District of New York in an effort to both preserve its business for the future and ensure that it emerges from its court-supervised reorganization of its business as a highly competitive and successful carrier in North America.

The stock of Spirit Aviation Holdings, Incorporated finished the day on Tuesday, August 12, 2025 after having plummeted 40.68 percent — or $1.44 per share — to $2.10 per share on the news that Spirit Airlines had warned of “going-concern doubts” only months after the struggling airline emerged from bankruptcy protection; which meant that Spirit Airlines operating through 2026 was doubtful. The stock recently hovered between 22 cents per share and as high as $1.83 per share. Although it is now worthless, the stock ended the day yesterday, Friday, May 1, 2026 at $1.04 per share.

Spirit Airlines, Incorporated filed voluntary petitions for reorganization and protection under Chapter 11 for the second time within slightly greater than only ten months in the United States Bankruptcy Court for the Southern District of New York on Friday, August 29, 2025 in order to execute a comprehensive restructuring of the airline to position the business for success in the long term.

Donald J. Trump — who is the current president of the United States — floated the proposal of bailing out Spirit Airlines for $500 million in exchange for up to 90 percent of the company. That proposal never came to fruition.

Guide on What to Do Next.

Although Spirit Airlines is offering to process refunds, that does not help any travelers who are currently stranded.

Sean P. Duffy — who is the current secretary for the Department of Transportation of the United States — officially announced today, Saturday, May 2, 2026 that a series of actions in coordination with carriers in the United States to support holders of tickets with Spirit Airlines, the general flying public, and pilots, members of flight crews, and other airline employees that have been impacted by the ceasing of operations by Spirit Airlines.

Included in that announcement was advice to holders of tickets of Spirit Airlines in pursuing a refund, as according to Duffy, you should:

1. Contact your credit card company: If you purchased your ticket with a credit card, you may be protected under the Fair Credit Billing Act. Contact your issuer to request a “chargeback” for services not rendered.
2. Check your travel insurance: If you have travel insurance, contact your provider to see if your policy covers “insolvency” or “service cessation.”
3. File a bankruptcy claim: You may file a formal “proof of claim” with the bankruptcy court. Please note that this process can take time and may only result in a partial refund.

The following airlines have offered to help customers of Spirit Airlines get to their destinations — or get back home — but keep in mind that policies can quickly changes without advance notice; so verify all information and details with each carrier before booking any tickets for flights.

For your convenience, click on the link of the name of the airline to find out further details and information.

• Alaska Airlines — No formal announcement has yet been published by Alaska Airlines pertaining to assisting customers of Spirit Airlines; but the airline is working with the Department of Transportation of the United States to support customers of Spirit Airlines. Call 1-800-252-7522 for additional information.
• Allegiant Air — 50 percent back in Allways Rewards points on qualifying itineraries booked by Tuesday, May 12, 2026 for travel between today, Saturday, May 2, 2026 and Monday, July 20, 2026 using promotion code ALLWAYSTHERE. Allegiant Air claims to be holding fares “steady” on overlapping routes with Spirit Airlines.
• American Airlines — Rescue fares are being offered on overlapping nonstop routes with Spirit Airlines. Book your tickets directly via the official Internet web site or mobile software application program of American Airlines.
• Avelo Airlines — Up to 75 percent off base fares is being offered across select routes through Tuesday, November 17, 2026, using promotion code TRAVELO. Eligible members of Spirit Saver$ Club can also receive a free upgrade to Avelo PLUS through Sunday, May 31, 2026.
• Avianca — No-fare return options are available for eligible passengers who already completed their outbound flight with Spirit Airlines and hold a return ticket with Spirit Airlines for travel between today, Saturday, May 2, 2026 and Saturday, May 16, 2026. Space available basis at the airport, day of departure or one day prior.
• Breeze Airways — No formal announcement has yet been published by Breeze Airways pertaining to assisting customers of Spirit Airlines; but the airline is working with the Department of Transportation of the United States to support customers of Spirit Airlines. Among other options, you can text Breeze Airways at 1-501-273-3931 for additional information.
• Delta Air Lines — Reduced, nonrefundable rescue fares for near-term travel on domestic routes that were previously operated by Spirit Airlines — including nonstop and connecting options through hub airports of Delta Air Lines — plus routes between the United States and Latin America.
• Frontier Airlines — Up to 50 percent off of base fares across its network for travel through Thursday, November 19, 2026, when booked by Sunday, May 10, 2026 using promotion code SAVENOW. Blackout dates, exclusions, terms, and conditions apply.
• JetBlue Airways — $99.00 rescue fares for impacted passengers with proof of a valid itinerary with Spirit Airlines on the same or similar route for travel through Wednesday, May 6, 2026. Book tickets by calling 1-800-JETBLUE.
• Southwest Airlines — Special discounted rescue fares are available only at Southwest Airlines airport ticket counters through Wednesday, May 6, 2026 on eligible overlapping routes. Domestic fares are based on distance flown: $200.00 for 1–500 miles; $300.00 for 501–1,000 miles; and $400.00 for greater than 1,000 miles.
• United Airlines — Price-capped one-way rescue fares are available between today, Saturday, May 2, 2026 and Saturday, May 16, 2026 through a dedicated Internet web site for booking tickets. Most fares are capped at $199.00, with longer routes capped at $299.00. Proof of both a ticket that was booked with Spirit Airlines and a MileagePlus membership account are required to be eligible.

If you are currently holding a ticket with Spirit Airlines and require the assistance of another airline, you should:

• Move as fast as possible without any hesitation, as the aforementioned policies could change without notice at any time;
• Keep every part of the process documented for your protection in case anything goes wrong, and
• Contact airlines directly for all options that are available to you, as open seats can disappear quickly.

If you are currently in possession of Free Spirit miles, you are likely out of luck, as those miles are currently worthless. Miles and points typically only outlast the airline that issued them when another carrier acquires that airline.

Final Boarding Call

Photograph ©2026 by Brian Cohen.

Although the collapse of Spirit Airlines caught no one by surprise — numerous factors contributed to the unfortunate ultimate demise of the airline — travelers and employees of the airline still must deal with the chaos and aftermath. Competing airlines stepping in to assist stranded customers is encouraging, as they could have easily exploited the situation to their own benefit by taking advantage of stranded customers in the form of charging expensive last-minute fares.

I have never had the opportunity to fly as a passenger aboard an airplane that was operated by Spirit Airlines — but the effects of the loss of the airline are already being felt in the form of higher airfares and less competition. For example, a nonstop flight from Atlanta to Lima typically hovered around $300.00 to $500.00 round trip. As of today, Saturday, May 2, 2026, the least expensive itinerary between Atlanta and Lima is approximately $665.00 and involves at least two airlines with a layover in Toronto and El Salvador for a total travel time of 21 hours and 30 minutes instead of almost seven hours…

…so even if you never flown as a passenger aboard an airplane that was operated by Spirit Airlines, you will likely feel the negative effects of the airline shutting down.

All photographs ©2015, ©2022, ©2024, ©2025, and ©2026 by Brian Cohen.