Spirit Airlines has announced it will shut down after last-ditch rescue talks with the Trump administration collapsed. The budget carrier had been seeking a $500 million bailout to stave off bankruptcy, but the negotiations fell through, leaving the airline unable to continue operations.
All Spirit flights have been canceled, stranding thousands of passengers across the United States. The airline urged travelers to seek alternative arrangements and said refunds would be processed for affected bookings.
The shutdown comes after years of financial struggles for Spirit, which faced intense competition from larger carriers and rising operational costs. The collapse of the rescue deal marks the end of the discount airline that had a reputation for no-frills service and ultra-low fares.
Former employees expressed shock and sadness at the news. One worker at Spirit's headquarters described the atmosphere as somber, with many facing sudden unemployment. The airline's closure will impact thousands of jobs and leaves a gap in the low-cost travel market.