
Reports say that Spirit Airlines is about to go out of business since it can’t recover from bankruptcy and fuel prices are going higher.
Bloomberg has a new report that says the airline could go out of business as soon as this week. The war in Iran is likely to blame for the rising fuel prices.
Spirit is the country’s best ultra-low-cost airline. Its planes are yellow and it doesn’t offer any extra services. It works out of Terminal A at LaGuardia Airport, which is modest yet has a lot of history.
The Florida-based airline is going through its second bankruptcy right now. Last month, it said it will restructure by getting new planes, offering premium ticket options, and focusing on its strongest routes, which include Fort Lauderdale, Orlando, LaGuardia, and Newark.
Zach Griff, a travel expert and creator of the From the Tray Table newsletter, argues that if Spirit stops doing business, it will have an influence on costs across the board.Fuel prices may be the death blow for Spirit, right? I would be really sad to see Spirit go away, and not just because I like to fly Spirit and they’ve changed their name. It is a lot better. “But Spirit’s existence keeps every other airline in check,” Griff remarked.
When airlines go out of business, they usually stop flying right away. This is bad news for people who have trips scheduled in the near future.
Griff believes there are ways to keep yourself safe.Griff added, “If Spirit were to go out of business, the credit card companies would end up paying for it or helping you get your money back through chargebacks and other means.”
