Spirit Airlines reaches deal to exit bankruptcy proceedings by early summer

Spirit Airlines announced Tuesday that it reached a deal with lenders that will allow it to exit bankruptcy by the late spring or early summer. The low-cost carrier filed for its second bankruptcy in August 2025 amid mounting losses and dwindling cash reserves. Spirit first filed for Chapter 11 bankruptcy protection in November 2024 after unsuccessful merger talks with JetBlue and Frontier.The airline will still face challenges under the deal, though it has a clearer path to survival after months of uncerta ...