Spirit Files Second Chapter 11 in Nine Months, a First for Major U.S. Carriers

Spirit Airlines returned to bankruptcy court on August 29, 2025, just five months after emerging from its initial Chapter 11 filing. The double restructuring in nine months is unprecedented for a major U.S. carrier. **Analysis:** The rapid relapse suggests the first reorganization addressed debt but not the underlying vulnerabilities—failed JetBlue merger, engine groundings, and legacy carriers' expanded basic economy offerings—that compressed margins on an already lean ultra-low-cost model.