Spirit Airlines near deal with Trump administration for $500 million rescue package

BREAKING NEWSUpdated nowTravelTravelSpirit Airlines near deal with Trump administration for $500 million rescue packageThe struggling discount carrier has filed for bankruptcy twice, and now it's under pressure from higher jet fuel costs due to the Iran war.Listen to this article with a free account00:0000:00A Spirit Airlines Airbus A320 lands at Hollywood Burbank Airport on April 17.Patrick T. Fallon / AFP via Getty ImagesShareAdd NBC News to GoogleApril 22, 2026, 12:43 PM EDT / Updated April 22, 2026, 12:56 PM EDTBy Steve Kopack, Jay Blackman and Garrett HaakeThe Trump administration on Wednesday neared a rescue deal for struggling Spirit Airlines, in a rare move to support a single air carrier.Subscribe to read this story ad-free Get unlimited access to ad-free articles and exclusive content.The deal, which has not yet been finalized, would offer $500 million to the discount airline, according to a person familiar with the matter. It would give the airline additional liquidity as it works toward emerging from bankruptcy and grapples with elevated fuel costs due to the war with Iran. The deal would also aim to create a durable well-funded airline. After Spirit emerges from bankruptcy, the U.S. government could potentially own up to 90% of the airline, the source also said. "The Trump administration continues to monitor the situation and overall health of the U.S. aviation industry that millions of Americans rely on every day for essential travel and their livelihoods," White House spokesman Kush Desai said in a statement.The U.S. government previously came to the aid of the airline industry overall during the 2020 pandemic and after the September 11, 2001, terror attacks. But Spirit, which filed for bankruptcy in 2024 and 2025, specifically drew the attention of President Donald Trump in recent days. Spirit's most recent bankruptcy filing occurred in August. The company said in March that it expected to emerge from bankruptcy this summer.“I’d love somebody to...