Shares of Spirit Airlines, based in the United States, collapsed by 74% on Friday as reports emerged that the airline may cease operations due to failed bailout negotiations with the U.S. government. The Wall Street Journal indicated that Spirit Aviation Holdings Inc. is facing severe financial challenges, having reportedly run out of cash and struggling to secure necessary financing. This turmoil follows stalled discussions for a potential $500 million federal bailout, with lenders resisting terms that could negatively impact their recoveries. In contrast, rival airlines such as JetBlue Airways and Frontier Airlines saw their stocks surge as investors reacted to Spirit's plight. Additionally, Spirit's financial struggles were worsened by a federal judge's decision in 2024 to block its proposed $3.8 billion merger with JetBlue on antitrust grounds. While the company has not confirmed any plans to shut down, a spokesperson stated that operations continue as normal for now.