Spirit Airlines apologized to the American public during a last minute bankruptcy hearing Tuesday morning just days after its shock shutdown.
The budget-friendly airline shut down with immediate effect Saturday, impacting thousands of passengers who became stranded and nearly as many employees.
Marshall Huebner, an attorney for the former airline, took the stand in front of Judge Sean H. Lane in a White Plains, New York, courtroom to discuss the hardship it encountered that led to its shutdown, including a dramatic rise in fuel prices resulting from the U.S. and Israel’s war with Iran.
Huh. That can’t be good…
Everytime I’ve been hearing about Spirit Airlines lately, I hear about how this guy trying to rally people to pledge money to buy Spirit Airlines in the hopes of making it community-owned. The problem is, according to their website:
"PROPORTIONAL PROFIT SHARES
Under the proposed Spirit 2.0 cooperative structure, profit-sharing distributions would be allocated proportionally to pledge amount. This is a proposed model only — not a confirmed financial arrangement. The final structure must be reviewed and approved by qualified securities counsel before any binding commitments are made.
PROPOSED ONLY: Profit shares would scale with pledge amount under the proposed structure. This is not a confirmed financial instrument. Nothing here constitutes an offer of securities."
So while I want to see them convert Spirit Airlines into a community-owned airline business (which would be amazing), I need to see this as a confirmed structure first. I can’t shake the feeling that maybe they would steal all the pledge money and then keep it privatized.
Maybe I’m being too skeptical, idk.
When I went to pledge I didn’t even have to put a card in, right now I think its just asking “if we get far enough can we count on you to finish this?”
They’re not actually taking any money yet.
This is a good point:
“This is a non-binding pledge of intent only. No funds are collected at this stage. This is not a securities offering, investment contract, or financial instrument. Any references to profit-sharing, dividends, or ownership are proposed concepts only — not confirmed arrangements. The final cooperative structure must be reviewed and approved by qualified securities and aviation counsel before any binding commitments are made. Participation does not guarantee ownership, financial return, or membership in any final entity.”
Still though, I worry that a lot of people are going to be tricked into thinking it’ll be one thing, give money (once they’re actually taking money), and be deceived. Keeping my eye out, just in case, and hopefully others are keeping an eye on it, too.
If they do solidify it being owned by the people like how they’re advertising, that’s awesome and I’m in.
Sell it to Winco. See what they do with it.
I’d accept an apology for being subjected to flying on one of their planes.
Goodbyes are free, but apologies cost $39 and are payable at the gate.
Frankly, I’m surprised it took this long. Like most of America, they’ve been paycheck to paycheck for a long time, just waiting for that inevitable disaster that makes them homeless, and it finally happened.
High gas prices are going to destroy a lot of companies, and a lot of lives. Gas was $2.79 on the day they started bombing. It was $4.59 yesterday.
We have reached the stage where they simply don’t care if it hurts us.
The next stage will be inflicting pain on us to make us submit.
Then it we’ll move to the stage where they inflict pain, just because it’s entertaining.
It’s kind of surprising to me that fuel prices in the US seem to have been affected the most by it.
I’m above the border and gas was typically $1.30 and now it’s closer to $1.90-$2.00
Still a big increase but no where near double like some places in the US
Well, we do extract and refine our own gasoline in canuckistan, so maybe it’s that.
American oil companies ALWAYS exploit any situation on which they can rationalize price increases. Even a rumor of a supply problem, even if it doesn’t affect America, will cause a 50 cent spike in prices.
Something like this? Time to cash in! I guarantee that at the end of the year, the oil companies will have record profits, proving that the increases weren’t due to the increased price of supply, but corporate greed-flation caused by profit-gouging.
Crazy how Biden is still making gas prices go up so long after he left office.
I would hope it’s obvious, but /s.
Sorry but Kenneth Cordele Griffin from Citadel, who lied to congress under oath, and who throws bedposts at his ex-wife, needed a little bailout. You know: Just one more day. We are coming for you Kenny
Hope that dude gets sucked into a jet engine!
lol
i don’t think there are any airlines (other than southwest) that have managed to turn a profit without at least one bankruptcy
Do you believe in life after bankruptcy?
Damn it, I never got to fly on it! Then again, I haven’t been on an airplane since 1977 so….
What an odd thing to say.
Well I said it in an even matter!
Clearly they should have rebranded themselves “Spirit AI” for an influx of investor cash.
It’s even in the name. Spirit AIrlines. Pronounced a-ire-lines of course.
SPIRaiT aiRLINERS
They couldn’t due to the brand being held by Spirit Halloween.
That’s only for sneaker companies
Iran Spirit
The canary in the coal mine.
You could maybe say they gave up the ghost.
Hot take, but I think a massive resession would ultimately be good for the average person in the long run—especially coupled with a minumum wage increase. I’m so tired of businesses and politicians bragging about job creation. Almost everyone I know works 50+ hours a week just to make it by. What we need isn’t more jobs, we need businesses to close down if the only way they can afford to stay open is starving their employees.
Who are you? Alan fucking Greenspan?
I think a massive resession would ultimately be good for the average person in the long run
Future generations? Sure. Present day citizens? No. We just last year gained some progress from 2008.
especially coupled with a minumum wage increase.
If we’re ever able to see a wage increase (lol) I can tell you without a doubt it’s not during a recession or afterwards.
I’m so tired of businesses and politicians bragging about job creation. Almost everyone I know works 50+ hours a week just to make it by. What we need isn’t more jobs, we need businesses to close down if the only way they can afford to stay open is starving their employees.
I mean sure. But do know rich people will be fine. The rest of us will be homeless. You’d think that there would be a need to fill the void, but rich people do not care.
Maybe it’d be better for our great grandchildren (admittedly, a very worthy goal if we could be sure). I doubt it’s going to make things better for anyone alive on this planet right now
Wages go up when there’s worker scarcity, not when there’s worker surplus.
“Hot take, but I hope to see the lives of millions of innocents ruined via means I can’t even spell because I lack the basic empathy to understand what true financial struggle is and would probably be basically fine. I am a very smart accelerationist.”
I think you missed the point. I think (as I stated) that companies shouldn’t exist that don’t pay a living wage. Millions of jobs going away is fine by me because I come from the real world where everybody is working 2-3 jobs to make ends meet. I can see why you believe that losing a job would be devastating, but most of us would be glad to be in your position where we depend on a single income to survive.
I come from the real world
Oh, you mean the one where the past two resessions [sic] worked out so great for everyone and didn’t just redistribute wealth even more heavily to the top? That real world? Wow, can I come over there sometime? That sounds incredible!
I remember when the minumum wage was increased under Obama, inflation stopped and actually reversed for awhile. I know you don’t have much to offer other than snark, but I think it’s worth saying for other people who read this that you’re heavily guessing what it’s like to live in poverty. I grew up in homeless shelters—when my family finally got into government housing I had to steal from grocery stores for my family to eat. If you think being jobless or homeless are the most terrifying things that could ever happen to someone you’ve had a very blessed life.
inflation stopped and actually reversed for awhile
Oh my god, yup, we’re definitely dealing with someone who doesn’t know how to spell “recession”. I wonder what people trapped in debt (you know, the poor) think of your stupid fucking braindead idea of deflation as apparently a good thing.
This points anywhere IS the recession. What you’re about to experience will be at best a depression or the 4th collapse.
You think it will help? The first thing that’ll happen when a recession hits is people will be laid off en mass and there will be no jobs available to apply for. It will take months or years for things to get better, and if AI starts replacing people it will take even longer.
That light at the end of the tunnel is a freight train.
Before you blame everything on one guy, let’s not forget the US government is 435 in Congress, 100 in Senate, and 4/10 think POTUS is doing a great job and 90 million don’t want to be in a democracy and do not participate.
It’s as if maybe the real problem is not one guy, it’s as if maybe the real problem is a country that only cares about a quick buck.
2008 never actually ended that while thing just kept getting pushed back by all the bullshit that’s been happening and ever since shit has just gotten worse. Civid helped people with the free money but that only made things worse. The current ai bubble is what is holding whatever is left up. And this “war” is just compounding everything even more.
To be clear, I think you’re missing the point entirely. The entire US economy is about to be in freefall.
Thanks Obama.
The tan suit was really the nail in the coffin. Not even Trump could save us from the fallout of that desaster.
My wife and I have been buying seedlings like mad. Also bought a lot of ammo.
So Long, and Thanks for All the Fish
Any one else going to go as sexy bankrupt airline for Halloween?
I’m going as the ghost of airlines past.
Stupid sexy Concorde.
Lol “sorry” - if they were sorry they would’ve given people warning.
whoops!
Hey! None of the other banks, other airlines, or other car companies ever said sorry when they were bailed out! Those ingrates.
Let’s buy and nationalize Spirit Airlines, together!
