Spirit Plans Spring Exit with Fleet, Network Reductions

DANIA BEACH — Spirit Airlines (NK) told a U.S. bankruptcy court on Tuesday that it has reached a restructuring deal with lenders. This agreement would let the airline exit Chapter 11 by late spring or early summer 2026, after filing for bankruptcy for the second time in less than a year.

The plan calls for NK to become a smaller, more efficient airline. It will focus on the busiest routes and times, cut expensive aircraft leases, and make better use of its Airbus fleet. Spirit expects its total debt and lease obligations to drop from US$7.4 billion before bankruptcy to about US$2.1 billion after restructuring.

Management also plans to offer more upsell products, such as expanding Spirit First and premium economy seating and updating loyalty programs, while keeping the main low-fare model. CEO Dave Davis said that after restructuring, the airline will focus more on its main airports: Fort Lauderdale (FLL), Orlando (MCO), the New York area (JFK/LGA/EWR), and Detroit (DTW).

Spirit’s new plan is less about growing at any cost and more about survival. The airline will shrink its fleet, cut low-yield off-peak flights, and sell more premium seats. This move suggests that the current U.S.

Spirit's saga shows us that ULCC strategy needs higher unit revenue to compete, as legacy carriers’ basic economy fares continue to squeeze the low end of the market.