The low -cost American airline airline announced Friday in a statement that was declared in bankruptcy, for the second time in less than a year. She explains that her decision to be placed under the protection of the Banking Law, known as Chapter 11, aimed at allowing her to operate “a financial and operational transformation to re -draw your network, optimize your fleet and realine your strategy in relation to market developments.”
The company specifies that the robberies, the sale of tickets and all its operations “continue” in parallel with this procedure initiated before a Federal Banking Court in New York. Salaries and obligations will be paid with their suppliers of goods and services will also be respected, he said.
Management, which intends to operate the “great changes necessary to place the company in a sustainable future trajectory,” he says he has initiated active discussions in recent months “with some of his most important creditors, bond holders and their main partners.”
11 successive quarters of losses
Spirit Airlines had already launched a similar procedure in mid -November 2024, as part of an agreement with most of its creditors to reduce its debt. He had received the injection of $ 350 million from his existing creditors to finance his “future initiatives”, in exchange for shares. Then he clarified that they will wait to be retired, “in the short term”, on the coast on the New York Stock Exchange. In the end, the new actions issued within the framework of their restructuring had replaced the old ones. But she reiterates her anticipation of an upcoming withdrawal.
In electronic exchanges after closing the stock market, Spirit’s action lost 2.40%. It has lost more than 86% for six months. The company announced on March 13 that it has completed its restructuring, accompanied by a reduction in its debt to around 800 million dollars. This plan had been validated on February 20 by a judge. The company of Dania Beach (Florida) had accumulated eleven consecutive quarters of losses in August 2024, and had indicated in November 2024 not being able to publish its results in the third quarter.
The financial forecasts of their restructuring plan did not materialize since Spirit Airlines published a net loss of $ 245 million in the second quarter of 2025, the first achieved completely after the launch of its first bankruptcy. During the announcement of these results, on August 11, the airline warned that its “operations continued to face challenges and uncertainties”, and that it should continue “at least until the end of 2025”.
As of June 30, its debt reached $ 2.69 billion, including 930 million to be reimbursed by 2030, according to securities market documents.
Fusion fusion with jetblue
Spirit had increased its capacity and market share in air transport after Cavid, but faced greater competition, which led to an offer too abundant. In 2022, its Frontier Airlines competitor had tried to merge with it, an operation of 2.9 billion dollars, before the Jetblue group made a higher offer that limited the opposition of US competition authorities. Union of Jetblue and Spirit would have formed the fifth player in air transport in the United States.
Source: BFM TV
