The collapse of Spirit Airlines followed years of financial struggles and policy decisions under former President Joe Biden's administration, not just recent fuel price increases tied to global conflict, Transportation Secretary Sean Duffy insisted on Sunday.
"Spirit tried to merge with JetBlue," Duffy said in an interview with ABC News' "This Week." "The Joe Biden-Pete Buttigieg administration and DOJ tanked that deal."
As a result, the airline's financial decline grew, he added.
"Immediately after that, they filed for bankruptcy," Duffy said, adding that Spirit filed again last year and had been "bleeding money."
Spirit Airlines announced Saturday it had gone out of business after 34 years, saying it had "started an orderly wind-down of our operations, effective immediately."
The ultra-low-cost carrier, known for its bright yellow planes, operated hundreds of daily flights and employed about 17,000 people. All flights were canceled, and customer service shut down.
"We are proud of the impact of our ultra-low-cost model on the industry over the last 34 years and had hoped to serve our guests for many years to come," the airline said in a statement.
But Duffy said that the closure "was in the works for some time," as the company had to liquidate.
Spirit's CEO had cited a "sudden and sustained rise in fuel prices" as a factor in the shutdown, but Duffy said the airline's problems predated the recent spike.
The Transportation Department said a reserve fund was set up for customers who booked directly with Spirit to receive refunds, while those who purchased tickets through third parties must seek reimbursement from those vendors.
Duffy also issued a warning to travelers.
"If you have a flight scheduled with Spirit Airlines, don't show up at the airport. There will be no one here to assist you," he said.
He said major carriers, including United, Delta, JetBlue, and Southwest, are offering $200 one-way fares for stranded Spirit passengers who can provide proof of purchase, and are assisting displaced employees with travel and job opportunities.
Spirit said it was working to return more than 1,300 crew members to their home bases, and that its final flight landed at Dallas-Fort Worth International Airport from Detroit Metropolitan Airport.
Despite the shutdown, some flights still appeared on airport departure boards Saturday morning, including five listed as "on time" in Atlanta, one of the airline's smaller stations.
Duffy said federal officials have coordinated with airlines to minimize disruption.
"I've stepped in, worked with the CEOs," he said, adding that the response has been organized rather than chaotic under President Donald Trump's leadership.
Sandy Fitzgerald ✉
Sandy Fitzgerald has more than three decades in journalism and serves as a general assignment writer for Newsmax covering news, media, and politics.
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