Spirit Airlines Reportedly Faces Possible 'Abrupt Shutdown' of Operations

It's no secret that Spirit Airlines has been in a dire financial state in recent months, as the company filed for bankruptcy for the second time in less than a year back in August. However, it seems like the situation has gotten so dire that some competitors were preparing for the company to shut down as early as this weekend.

According to a report from The Air Current, some of Spirit's competitors were preparing for the airline to cease operations as early as Saturday as a result of a major bankruptcy milestone.

Spirit's Financial Troubles

Back in August, Spirit Airlines filed for bankruptcy for the second time in a year as a result of some financial woes.

“Since emerging from our previous restructuring, which was targeted exclusively on reducing Spirit’s funded debt and raising equity capital, it has become clear that there is much more work to be done and many more tools are available to best position Spirit for the future,” Spirit CEO Dave Davis said back in August. “After thoroughly evaluating our options and considering recent events and the market pressures facing our industry, our Board of Directors decided that a court-supervised process is the best path forward to make the changes needed to ensure our long-term success.”

At the time, Davis said that Spirit was “moving away from the elements of the business that no longer work,” including “strategically growing our network in stronger markets with more opportunities and making some difficult decisions like re-evaluating unprofitable routes.”

Competitors Brace For Spirit's Demise

While Spirit has continued to operate as normal over the past several months despite the bankruptcy, it sounds like some other airlines have caught wind of what could be the imminent end for Spirit.

According to The Air Current, some of Spirit's competitors were preparing for the possibility that the ultra-low-cost carrier could fold and cease operations as early as Saturday.

"At least two major U.S. airlines are planning for a possible demise of the struggling low-cost carrier as early as Saturday, The Air Current is told. Each is accelerating plans to provide a schedule to backfill what would be Spirit's cancelled flights along with rescue fares for Spirit customers who would be stranded by an abrupt end to its flying heading into one of the busiest travel periods of the year," The Air Currentreported on Friday.

The outlet reported that other senior executives in the airline industry have been keeping an eye on the situation, believing it to be "unlikely [that] Spirit will receive the necessary capital injection" to remain afloat.

While Saturday has already passed with Spirit still surviving, The Air Current reports that the company has 2,710 flights scheduled between Dec. 14 and Dec. 20 that could be in jeopardy if the airline abruptly shuts down, as its competitors believe is possible.