Spirit Airlines: Turbulence in Budget Travel

Spirit Airlines has filed for bankruptcy protection, aiming to restructure amidst financial struggles post-pandemic, failed mergers, rising operational costs, and competitive market challenges. Although continuing operations, Spirit plans to reduce its flight schedule, focus on refinancing, and introduce bundled fares to regain profitability.

Spirit Airlines, the largest US budget airline, has sought bankruptcy protection as it fights to recover from financial challenges exacerbated by the pandemic and an unsuccessful merger with JetBlue.

Despite losing over $2.5 billion since 2020, Spirit claims it will continue normal operations, reassuring customers their bookings remain secure.

With $1 billion in debt looming, Spirit is concentrating on debt refinancing, boosting liquidity, and launching new products, while adjusting strategies amidst tough market conditions.

(With inputs from agencies.)