U.S. low-cost carrier Spirit Airlines announced an immediate shutdown of its global operations on Saturday after last-minute talks with lenders and the White House collapsed. The airline canceled all flights and suspended customer service, citing a severe financial crisis driven by rising fuel costs and other business pressures. American Airlines, Delta, United, and JetBlue quickly launched rescue efforts, offering discounted fares and additional flights to accommodate stranded passengers. Some airlines also began assisting and recruiting Spirit’s employees.

Spirit, which had about 7,500 employees by the end of last year, had faced multiple bankruptcy proceedings since 2024. The company promised refunds to affected passengers. U.S. Transportation Secretary Sean Duffy said President Donald Trump made every effort to keep the airline afloat but noted that the outcome depended on lenders’ decisions. Labor unions criticized the shutdown, warning that the burden would fall on pilots, cabin crew, and mechanics.

Analysts said the airline’s collapse could reshape the U.S. low-cost travel market, as rising jet fuel prices following Middle East tensions delivered the final blow to an already weakened carrier.