Spirit strikes AerCap deal and secures almost half a billion in finance as it trims routes
October 1, 2025
Struggling Spirit Airlines is set to receive a significant lifeline from its creditors as part of its restructuring under its second Chapter 11 bankruptcy in a year.
The airline shared yesterday, 30 September, that it was making ‘significant progress’ in Chapter 11, including a multi-tranche debtor-in-possession (DIP) financing facility of up to $475 million from its existing creditors.
The almost half a billion dollar facility is designed to provide financial stability to support the airline to continue flying while it restructures again. Money can be used for day-to-day expenses such as fuel, payroll, maintenance and more, and preserves liquidity so Spirit can keep operating.
The financing is to be released in stages, and the airline expects $200 million to be available immediately, pending court approval, giving it instant breathing room. Adding to this is $120 million of cash collateral that the company has been given instant access to.
“These are significant steps forward in a short period of time to build a stronger Spirit and secure a future with high-value travel options for American consumers,” says Dave Davis, President and Chief Executive Officer. “While there’s more work to be done, we’re grateful to our stakeholders who have stepped up to support us during the restructuring.”
Read next: What is Chapter 11 and why do airlines use it?
Spirit negotiates with AerCap to free up more cash
The financing made available to Spirit isn’t just cash to burn through. The money will be essential to delivering the airline’s significant structural changes required under its second Chapter 11.
Already, the airline has been reshuffling pending fleet changes to better suit its financial position. The airline shared that it has negotiated with AerCap to reject the leases of 27 aircraft, saving the company significant amounts on aircraft it’s not in a position to utilise.
Spirit added that its agreement with the lessor will see AerCap pay the airline $150 million, and that all claims and disputes between the two parties will be considered resolved. Yet, there remain accommodations for the delivery of 30 aircraft in future.
Spirit noted that this agreement is subject to the approval of the court, which will be considered at a hearing on 10 October.
Spirit route cuts and airport exits
Spirit has begun a sharp retrenchment as part of its Chapter 11 reset, pulling out of two airports and thinning its timetable.
The carrier will end service at Hartford’s Bradley International on 31 October 2025 and at Minneapolis–St Paul on 1 December 2025, with affected customers being contacted for refunds.
These exits sit alongside a broader November schedule trim in which Spirit plans to suspend around 40 routes, roughly a quarter of its network for the month, as it concentrates flying in stronger, higher-yield markets.
Those moves follow an earlier decision to withdraw from 11 U.S. cities in early October, reflecting a pivot away from thinner spokes and underperforming leisure pairs as the airline works to stabilise cash flow during restructuring.
In parallel, Spirit has brought in Andrea Lusso (ex-JetBlue and Amazon Air) as vice-president of network planning to lead a profitability-first redraw of the map.
Expect the details of individual route suspensions to filter through schedules and airport notices across October as filings update.
