Spirit Airlines could shut down as soon as tomorrow, source says

Spirit Airlines could shut down as soon as tomorrow without a last-minute intervention, a source familiar with the matter tells NBC News.

As of Friday afternoon, discussions about a rescue of the troubled budget carrier were ongoing. Earlier in the day, President Donald Trump said the White House had given Spirit Airlines “a final proposal” for a federal bailout to save it, but cautioned he was reluctant to risk taxpayer funds on a business that has already been through two bankruptcies.

A Spirit spokesperson declined to comment on ongoing discussions and told NBC News that the airline was operating as usual.

As of 2:30 p.m. ET on Friday, Spirit employees had not received any instructions about not reporting to work this weekend, a source familiar with the matter told NBC News.

But several major airlines said they were making preparations to support Spirit passengers and employees in the coming days if the budget airline halts operations.

In a statement, American Airlines said it was immediately implementing fare caps on tickets in its “main cabin” tier for Spirit routes to cities where it also offers nonstop service.

A representative for United Airlines told NBC News, “We’re preparing to support Spirit customers and employees in the event of a shut down and we’ll likely have more to share later.”

A Frontier spokesperson said the carrier was ready to “support customers who may be impacted if Spirit Airlines ceases operations, with a focus on helping people continue their travel plans with low-fare options.”

JetBlue also said Friday on X that “We’re here to help if Spirit Airlines’ operations are suspended and your travel plans are disrupted.”

In response to some posters on X who asked about the status of future flights, Spirit said Friday night that its “flights are operating as scheduled.”

“The most important thing to know is that Spirit continues to operate and offer high-value travel options,” the airline replied.

The Wall Street Journal, The New York Times and Bloomberg News all reported Spirit is preparing to cease operations after surging jet fuel costs made its planned exit from bankruptcy all but impossible.

Spirit had in recent weeks approached the White House seeking financial assistance — and Trump initially appeared receptive to the idea, proposing a $500 million package with the U.S. taking a stake in the company.

Yet the plan almost immediately ran into opposition from Wall Street, Capitol Hill and even a member of Trump’s own Cabinet. Transportation Secretary Sean Duffy suggested a rescue would amount to tossing “good money after bad.”

“There’s been a lot of money thrown at Spirit, and they haven’t found their way into profitability,” Duffy said in an interview with Reuters. “And so would we just forestall the inevitable and then own that?”

In remarks to the press Friday afternoon, Trump expressed fresh doubts about the rescue.

“We’re looking at it. But if we can’t make a good deal… no institution has been able to do it,” he said.

Trump said his administration was “trying to help them.”

“It’s 14,000 jobs,” he added, “I would say we’re driving a tough deal.”

But, he said, “We have to come first. We’re first,” referring to protecting taxpayer funds.

In a statement on X, Sara Nelson, president of the Association of Flight Attendants, expressed concern about the fate of Spirit’s employees should a rescue fail to materialize.

“If @realDonaldTrump wants to help @SpiritAirlines he can do it,” she wrote. “It’s in his hands. Everyday Americans will hurt — beyond the nearly 20k employees who will lose their livelihoods — it will cost consumers $1B annually. If you’re in charge @POTUS then make it happen now.”

Spirit — one of five ultra-low-cost airlines in the U.S. — has struggled for years to sustain profitability. In the first two months of 2026, it lost $60 million — and that was even before the cost of jet fuel touched new records.

The airline attempted to be acquired by JetBlue several years ago, only to see a federal judge side with Biden-era Justice Department officials that such a combination tripped antitrust rules.

Yet some analysts say the loss of a full-fledged airline, especially a budget one like Spirit, would also end up hurting consumers — not to mention its approximately 17,000 employees.

“Even if you’ve never flown on Spirit, you want them in the market to help put pressure on those other larger carriers,” Katy Nastro, a travel expert at Going.com, told NBC News in a recent interview. “It actually helps keep prices cheap. So even if you’re not a big Spirit fan, you want to see them succeed.”

At the same time, a government bailout might also set a worrisome precedent, analysts with J.P. Morgan said in a note last month, warning that Frontier and JetBlue, who’ve faced their own financial struggles, could follow suit.

Earlier this week, a group representing budget airlines requested $2.5 billion from the Trump administration to compensate for higher fuel costs and stave off raising airfares.

The Association of Value Airlines, a trade group that represents Allegiant, Avelo, Frontier, Spirit and Sun Country Airlines, said in a statement that “temporary government support to preserve vital industry competition is not without precedent.”