Spirit Airlines Secures Bankruptcy Court Approval for Airbus Order Rejection and Fleet Restructuring
Spirit Airlines received approval from the US Bankruptcy Court in New York to reject a commitment for 52 Airbus aircraft and options for 10 more, as part of an agreement with lessor AerCap. The decision is a key element in Spirit’s ongoing bankruptcy proceedings.
The agreement follows a leasing dispute with AerCap, which earlier terminated contracts for 36 new Airbus A320neo aircraft scheduled for delivery between 2027 and 2028. AerCap also cited defaults on leases covering 37 aircraft already in Spirit’s fleet, though Spirit contested these claims.
Under the approved terms, Spirit will reject 27 out of 37 active leases with AerCap and relinquish all rights to the 36 undelivered aircraft. In return, AerCap retains $9.7 million in Spirit’s security deposits and may file an unsecured claim of up to $572 million against the airline.
Spirit will enter into new leases with AerCap for 30 Airbus A320 or A321 aircraft, with deliveries planned between 2027 and 2029. AerCap has also agreed to provide a $150 million capital infusion to Spirit, supporting the carrier’s restructuring efforts.
The court authorized up to $475 million in debtor-in-possession financing from Spirit’s existing creditors. To reduce costs, Spirit intends to shrink its fleet from 214 to approximately 114 aircraft and will furlough about 1,800 flight attendants starting December 1.
“We are pleased to have reached another significant milestone in our restructuring, which represents continued progress toward securing a successful future for Spirit,” said Dave Davis, President and Chief Executive Officer.
With these approvals in place, we are better equipped to build a stronger airline that delivers unmatched value to American consumers. We thank our stakeholders for their support and the Spirit team for their dedication and resilience during this process.”
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