Spirit Airlines announced it is expected to emerge from Chapter 11 bankruptcy proceedings by the summer.
The airline says it has reached a deal with key creditors.
“Spirit will emerge as a strong, leaner competitor that is positioned to profitably deliver the value American consumers expect,” CEO Dave Davis said.
This is the second bankruptcy for the airline in a year.
Spirit has made sacrifices to become a leaner business and will operate 40% fewer flights this summer compared to a year ago.
It has also sold dozens of aircraft and offloaded airport gates, raising millions.
It has also significantly cut workforce costs by furloughing pilots and flight attendants, although some of these are returning for the spring break and summer season.
Importantly, the airline says it will remain independent.
Throughout its current bankruptcy, it has continually said a possible sale of the business is not being ruled out.
