President Trump Considers Taxpayer-Funded Acquisition of Spirit Airlines
President Trump is evaluating a government-funded purchase of Spirit Airlines, aiming to stabilize and later resell the carrier after oil prices decline.
President Donald Trump announced on Thursday that his administration is considering a taxpayer-funded acquisition of Spirit Airlines, with plans to resell the budget carrier once oil prices decrease.
Speaking at an Oval Office event, President Trump highlighted the airline's assets and the potential for job preservation.
Spirit Airlines has faced financial difficulties, filing for Chapter 11 bankruptcy in November 2024 and again in August 2025. The airline is currently in advanced discussions with the U.S. government regarding a financing deal to facilitate its emergence from bankruptcy protection.
The White House has attributed Spirit's financial challenges to the previous administration's decision to block a proposed merger between Spirit and JetBlue Airways in 2023.
Transportation Secretary Sean Duffy expressed caution regarding the potential government intervention, questioning the viability of such a move.
Lawmakers from both parties have voiced skepticism about the proposed acquisition. Senator Ted Cruz of Texas described the idea as a "terrible idea," while Senator Tom Cotton of Arkansas questioned the government's ability to manage the airline profitably.
Conversely, the union representing Spirit's pilots has expressed strong support for a rescue deal, emphasizing the airline's role in providing affordable travel options.
Spirit Airlines, headquartered in Fort Lauderdale, Florida, employs approximately 15,000 people, with about 6,000 based in Florida.
