Spirit Airlines Stock Plummets by More Than 62 Percent Amid Debt Negotiations

Investors see ongoing discussions as a prelude to potential bankruptcy, given the airline has been financially struggling for some time.

Spirit Airlines planes are prepared for flight at the Fort Lauderdale–Hollywood International Airport in Fort Lauderdale, Fla., on May 16, 2022. Joe Raedle/Getty Images

Spirit Airlines is negotiating a debt-restructuring deal with creditors, a revelation that has sent the company’s stock price crashing.

Spirit has been in “active and constructive discussions” with some of its note-holders—those who have lent money to the airline—to restructure the company’s debt obligations, according to a Nov. 12 company statement.