A court has granted approval for Spirit Airlines’ liquidation, bringing the carrier one step closer to dismantling.
According to the Associated Press, U.S. Bankruptcy Judge Sean Lane approved the low-cost carrier’s liquidation plans. With the green light, Spirit can continue the complex process of addressing its loose ends and unpaid financial obligations to creditors, employees, and other parties with whom it had dealings. Per the AP, Spirit’s liquidation plan is to sell as many of its assets as possible and reduce current and future spending. Things that the airline may be able to sell off include its planes, salvageable aircraft parts, and more. Since a significant portion of Spirit’s fleet was leased rather than owned, that will also play a role in what’s liquidated versus repossessed.
What Else Is There To Know About Spirit Airlines’ Shutdown?
During a lengthy hearing in New York City, Judge Lane reportedly commented on the now-defunct airline’s demise.
“Today is a very challenging day. It’s not a day that anybody hoped would ever come,” Lane is quoted as saying, additionally noting his “sympathy to the Spirit employees and their families.”
Globally, around 17,000 Spirit workers were laid off on May 2, when the company abruptly ceased operations.
The now-unavailable Spirit routes likely to impact travelers the most are those to and from Fort Lauderdale-Hollywood (FLL), Orlando (MCO), Newark Liberty (EWR), and Hartsfield-Jackson Atlanta (ATL). Additionally, the airline operated a significant number of flights at LaGuardia-NYC (LGA), Harry Reid-Las Vegas (LAS), Detroit Metro (DTW), Dallas Fort Worth (DFW), and George Bush Intercontinental-Houston (IAH).
Competitor airlines have already begun announcing routes that’ll serve travelers where Spirit will no longer be present. JetBlue Airways has announced 11 new routes to FLL, Spirit’s former main flight hub. Additionally, Southwest Airlines recently shared that it’s “adding waves of new flights” through spring 2027 to and from LAS and MCO. The latter airline says, “The enhanced flight schedules build on [Southwest’s] longstanding position as the largest air carrier in both communities and bring new ways to travel nonstop between dozens of cities and two of the most dynamic leisure and convention markets in the United States.”
The post Now That Spirit Airlines Has Been Approved To Liquidate, What Happens Next? appeared first on Travel Noire.
