Spirit Airlines is shutting down operations after failing to secure a $500m (£368m) bailout from the Trump administration.
In the early hours of Saturday, the airline released a final statement, saying, the shuttering comes after “extensive and comprehensive efforts to restructure the business.”
The company said, “We are proud of the impact of our ultra-low-cost model on the industry over the last 34 years and had hoped to serve our guests for many years to come.”
A significant rise in oil prices and other pressures have “significantly impacted” its prospects. “With no additional funding available to the Company, Spirit had no choice but to begin this wind-down,” the company added.
The airline stated on its website that all flights have been canceled and customer service is no longer available.
The customers who have already booked their tickets are advised to receive refunds but said it would not assist with rebooking travel on other airlines.
US President Donald Trump stated his administration had presented a “final proposal” for a taxpayer-funded rescue, but failed to strike an agreement.
Trump floated the idea of a bailout last week as the airline faced a second bankruptcy process in less than two years, amid significantly increasing oil prices tied to the Iran war.
Notably, the shutdown has impacted nearly 17,000 jobs that could be affected by the shutdown, according to Spirit lawyer Marshall Huebner.
