Trump on saving Spirit Airlines: 'We gave them a final proposal'
The troubled budget airline is reportedly on the verge of shutting down.
President Donald Trump said the administration would have an announcement soon on the fate of Spirit Airlines. | Charles Krupa/AP
President Donald Trump on Friday said an announcement regarding beleaguered carrier Spirit Airlines was imminent after the administration, which wants a stake in the company, gave the company “a final proposal.”
“If we can do it, we’ll do it, but only if it’s a good deal,” Trump told reporters. “I said I’d like to save the jobs, but we’ll have an announcement sometime today. We gave them a final proposal.”
Over the last week, the administration has been engaged in discussions on a financing package worth roughly $500 million that would keep the struggling low-budget carrier afloat. Spirit is at risk of liquidation and has sought an emergency government bailout, though media reports this week said negotiations had reached an impasse. On Friday, The Wall Street Journal reported Spirit would wind down its business as the rescue deal ultimately unraveled.
Speaking about the impasse, Trump said: “I would say we are driving a tough deal but it’s one of those things. We will do it or we won’t.” If the government can offer Spirit a lifeline, “it’s 14,000 jobs,” he said, adding a decision could be either “today or tomorrow.”
A company spokesperson declined to comment on Friday on ongoing discussions, other than to add Spirit “is operating as usual.”
A person familiar with discussions told POLITICO Friday that Spirit’s board of directors needs to hold a vote to cease operations.
“That has not happened,” said the person, who was granted anonymity to discuss the fluid nature of negotiations.
The person added that operations for flight attendants and pilots are still proceeding. No guidance has been disseminated to stop showing up for work, or to “pack your bags.” While there may not be a deal, there hasn’t been a vote to stop operations and liquidate, the person said.
Unions representing pilots and flight attendants at the Florida-based carrier have come out in favor of a bailout.
The president of the Association of Flight Attendants-CWA, Sara Nelson, said that if Trump wants to help, it’s “in his hands.”
“Everyday Americans will hurt — beyond the nearly 20k employees who will lose their livelihoods — it will cost consumers $1B annually,” Nelson said in a post on X. “If you’re in charge @POTUS then make it happen now.”
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