Spirit Airlines Could Face Bankruptcy in 2026
Company Warns It May Not Be Able to Continue Operations Next Year
Spirit Airlines, in its latest filing with the U.S. Securities and Exchange Commission (SEC), warned investors that unless it secures significant cash inflows within the next 12 months, there is a high risk the company may not be able to continue its operations.
In the statement, weak travel demand, rising operating costs, and stringent debt conditions were cited as the main factors threatening the carrier’s ability to survive.
The low-cost airline, which recently emerged from Chapter 11 bankruptcy protection, has implemented asset sales and cost-cutting measures to sustain its operations. As part of these measures, 270 pilots will be placed on unpaid leave starting November 1, and 140 captains will be reassigned to first officer positions as of October 1. The company also announced restrictions on employee benefits and job reassignments.
