Spirit Airlines is nearing shutdown as bailout discussions with the government and creditors stall, threatening up to 17,000 jobs and millions of travelers.

President and White House officials signaled a "final proposal" on a bailout, while Spirit declined comment and said operations continue, leaving the door open to further developments.

Reports from The Wall Street Journal, The New York Times, and Bloomberg indicate that high jet fuel costs are undermining Spirit’s bankruptcy exit plan and pushing toward a shutdown.

Labor unions and consumer advocates warn the collapse could reduce competition, raise fares, and hurt budget travelers.

This is a developing story and will be updated as new information becomes available.

A trade group for value airlines argues temporary government support to preserve competition isn’t unprecedented and could help stabilize the industry amid high fuel costs.

Context around the bailout, including who stands to benefit or lose, is part of the ongoing discussion.

Rising jet fuel costs have doubled since the start of the conflict, squeezing margins and forcing route cuts and surcharges, with low-cost carriers most vulnerable.

Background on broader economic and industry implications of Spirit’s uncertainty, including impacts on employees, customers, and market confidence.

Spirit cites its 34-year history and its role in shaping ultra-low-cost models as it faces potential shutdown.

Refunds are being offered to customers, but there will be no assistance in rebooking on other carriers.

Spirit’s collapse would be the first major U.S. airline shutdown in nearly a quarter-century, underscoring industry pressures from rising fuel costs.