Spirit Airlines is close to getting a $500 million bailout from the federal government, according to a source familiar with the negotiations.
The deal is expected to include the federal government taking a stake in the troubled airline, which had struggled to make money ever since the Covid pandemic.
Spirit would also avoid becoming the first significant US airline in 25 years forced to completely halt operations because of financial problems. Jet fuel costs have roughly doubled since the start of the war in Iran, derailing Spirit’s plans to emerge from its second bankruptcy reorganization since 2024.
The source told CNN a deal