American budget carrier Spirit Airlines has abruptly shut down operations, cancelling all flights nationwide after failing to secure a last-minute government bailout. The airline's collapse has sparked controversy, with Democratic Senator Elizabeth Warren facing online backlash over her stance on the proposed rescue.
The airline announced on Saturday that it would cease operations immediately, advising passengers not to head to airports. The move follows the collapse of a proposed $500 million bailout plan linked to the administration of US President Donald Trump.
Spirit's downfall comes after mounting financial stress, including rising fuel prices, operational setbacks, and failed restructuring efforts. The airline had entered bankruptcy twice within a year and faced additional pressure from a blocked acquisition attempt by JetBlue, aircraft groundings due to engine issues, and increasing competition from larger airlines offering similar "basic economy" fares.
Senator Warren has emerged as a central figure in the political fallout. She had publicly questioned the idea of using taxpayer money to rescue the airline after Trump floated the possibility of a government-backed acquisition. Warren was not alone in opposing the bailout, with Republican Senator Ted Cruz also criticising the proposal.