A US bankruptcy court has approved Spirit Airlines continuing its operations as normal on on September 3, 2025, amid its ongoing Chapter 11 restructuring.
"We are pleased to have reached this first milestone in our restructuring process, which will support normal operations as we take decisive action to ensure that Spirit continues delivering the best value in the sky for years to come," said Spirit president and CEO Dave Davis. "With these approvals in place and access to the many new tools now available to us, we can continue to implement our transformation to build a stronger foundation and future for Spirit."
The US Bankruptcy Court for the Southern District of New York gave Spirit approval of first day motions related to the restructuring process. This enables the airline to continue operating as usual, including honouring tickets, reservations, credits, and loyalty points, as well as paying wages and honouring benefits. In addition, it will allow Spirit to pay certain vendors and partners for goods and services delivered, as well as expecting to pay for such services in the future with this approval.
Spirit said it is continuing to have “productive discussions” with its secured bondholders and revolving lenders.
“While the company currently has sufficient liquidity to fund its operations, it continues working productively with its secured noteholders and other stakeholders, including with respect to potential financing that may become necessary,” Spirit read in its statement.
The airline was delisted from the New York Stock Exchange (NYSE) on September 2, with it expecting to continue to trade in the over-the-counter marketplace through the Chapter 11 process.
Spirit filed for Chapter 11 bankruptcy on August 29, 2025, less than a year after entering its pre-arranged restructuring last year. The company exited this initial restructuring earlier this year, moving ahead with its premium rebrand plan. Amid economic uncertainties and liquidity pressures, the company's plan failed to secure its future success.