(PHOENIX) Spirit Airlines has warned it may not survive the next 12 months, placing up to 12–15 daily departures at Phoenix Sky Harbor International Airport at risk as soon as early 2026 if the carrier shuts down. In a quarterly filing on August 12, 2025, the airline said there is “substantial doubt” about its ability to continue operating over the coming year. For Phoenix travelers, that raises the possibility of losing nonstop, ultra-low-cost options to 8–10 major U.S. cities, including Las Vegas, Los Angeles, Dallas-Fort Worth, Houston, and Chicago.
The airline’s caution follows a turbulent year. Spirit emerged from Chapter 11 in March 2025 after a restructuring that reduced debt and trimmed its network. But weak demand for domestic leisure travel, higher operating costs, and heavy interest payments have kept pressure on its finances. For the quarter ending June 2025, Spirit posted a $184 million operating loss, and management has begun talks with creditors about asset sales — including aircraft and airport gates — to raise cash.

Local impact at Phoenix Sky Harbor
At Phoenix Sky Harbor International Airport, Spirit accounts for an estimated 3–5% of total passenger traffic. While that share may sound modest, the impact is outsized for price-sensitive flyers who rely on the carrier’s bare-bones fares and on-time frequencies for family visits, jobs, or medical appointments.
If Spirit exits, likely outcomes include:
- Fewer early-morning and late-evening options, leading to less convenient schedules.
- Longer connection times and reduced frequency on weekend- and seasonally-peak routes.
- Higher ticket prices on overlapping routes as competition thins, especially on short-haul, high-frequency city pairs.
- Underused gates at the airport and reduced spending at shops and restaurants.
- Job risks for frontline staff, flight attendants, pilots, and ground crew in Phoenix (furloughs or layoffs).
Industry analysts warn the effect would ripple beyond Phoenix. Spirit’s ultra-low-cost model stimulates demand with low base fares and unbundled add-ons; its exit often leads to reduced capacity and higher average fares for months or longer. According to analysis by VisaVerge.com, markets that rely on an ultra-low-cost carrier typically see a slower return of seats, and when capacity returns, it often comes at higher prices.
Why Spirit is at risk
The path to this moment stretches back years:
- Spirit filed for Chapter 11 in November 2024 after pandemic-era losses exceeding $2.5 billion since 2020.
- Bankruptcy allowed the carrier to shed debt and aircraft commitments; it returned to public operations in March 2025.
- Persistent pressures include fuel price increases, maintenance costs related to an aging subfleet, and slower-than-expected leisure demand.
- Merger talks with JetBlue and Frontier collapsed, leaving Spirit to explore asset sales and deeper cost cuts while negotiating with lenders.
A key near-term milestone is December 31, 2025, when Spirit must renegotiate a major agreement with its credit card processor. The airline has also announced pilot furloughs and demotions starting in October and November 2025, signaling a leaner schedule next year. While the company says it plans to keep flying through the end of 2025, the risk of a second bankruptcy or liquidation remains if it can’t secure new financing.
Who would be hit hardest
Certain communities in metro Phoenix are especially vulnerable:
- Immigrant families, international students, and temporary workers often rely on the lowest fares for domestic legs connecting to international travel, visits to relatives, or seasonal work.
- For these travelers, fewer budget options may mean delaying trips, choosing buses or long drives, and adding time and stress to already complex plans.
Traveler guidance and consumer rights
If you have a ticket on Spirit Airlines in the coming months, plan carefully. The company is still flying, but its public warning means conditions can change quickly. Steps to protect your trip and your money:
- Book refundable or flexible tickets whenever possible, especially for travel in late 2025 or early 2026.
- If you must book with Spirit:
- Pay with a credit card, keep all receipts, and save screenshots of fare rules.
- Avoid mixing a Spirit leg with a separate nonrefundable ticket on another airline. If one flight cancels, the other carrier doesn’t have to help.
- For time-sensitive trips (weddings, medical visits, immigration appointments), consider booking on another carrier if prices allow.
- Sign up for flight alerts from the airline and Phoenix Sky Harbor, and check your flight status early and often on the day of travel.
- For families with limited English, ask a trusted friend to review airline emails and notices so you don’t miss deadlines. Keep all communication in writing.
Know your rights:
- If Spirit cancels your flight and you choose not to travel, you’re generally entitled to a refund of the unused portion, even for nonrefundable tickets. The U.S. Department of Transportation explains refund rights and how to file complaints on its official site: https://www.transportation.gov/airconsumer.
- If the airline stops operating after you’ve bought a ticket, credit card protections may allow a chargeback for services not delivered. Contact your card issuer right away and provide proof of cancellation.
- Travelers who used vouchers or credits should ask the airline about converting them to cash if flights are canceled by the carrier.
- Refunds can take time during mass disruptions; patience and clear documentation help.
If a flight is moved to another day or time, you can often say no and request a refund. Keep all communications and proof in writing.
Airport and industry response
Phoenix Sky Harbor International Airport says it is monitoring the situation and preparing plans to limit disruption if Spirit pulls out. Possible measures include:
- Temporary gate reassignments
- Guidance for rebooking on other carriers
- Additional ground staff to assist during irregular operations
Some airlines may add seats on high-demand Phoenix routes, but analysts caution that replacement capacity rarely matches what disappears, and fares may be higher. Low-fare tickets could return first on leisure-heavy routes like Las Vegas or Southern California, while thinner markets might wait longer.
Bottom line
- Spirit continues to sell tickets and many flights still depart as scheduled, but the airline’s warning signals instability.
- The clock is ticking toward December 31, 2025, a critical date for renegotiating a credit card processing deal that could affect cash flow heading into the slower winter season.
- Phoenix stands to lose not only flights, but also a pricing anchor that has made quick trips and family visits more affordable.
Travelers who act early, keep records, and know their rights will be best positioned if the airline’s outlook worsens.
This Article in a Nutshell
Spirit Airlines warned on August 12, 2025 it may not survive 12 months, threatening 12–15 Phoenix daily flights. After Chapter 11 in March 2025, weak leisure demand, higher costs, and $184 million quarterly losses push talks on asset sales. Travelers should book flexible tickets and preserve documentation to protect refunds.