Spirit Airlines faces shutdown as $500M rescue deal collapses amid cash crisis

Spirit Airlines is at risk of shutting down after a $500 million emergency funding deal fell through due to lack of support from key bondholders and government stakeholders. The ultra-low-cost carrier is running low on cash and may be unable to continue operations without new financing. Discussions about restructuring and government aid are ongoing, but disagreements among creditors and rising costs have complicated the rescue effort. The airline's shares dropped 63% following the news, highlighting investor concern over its financial stability.