Budget airline Spirit Airlines has warned investors that it may go out of business due to weakening demand for domestic leisure travel, citing tariffs imposed by President Donald Trump as a major contributor to the decline. The airline reported a net loss of $245.8 million in the second quarter of 2025, with “substantial doubt” over its ability to continue operating within 12 months. To address this, Spirit plans to sell aircraft and airport gate rights to raise cash for debt obligations and credit card processor requirements. This move comes just months after the airline exited bankruptcy, which it had filed for last November and emerged from in March with nearly $800 million in debt slashed.
Source: https://www.businessinsider.com/spirit-airlines-warning-survive-year-losses-bankruptcy-2025-8