Trump says government gave ‘final’ bailout proposal for Spirit Airlines as liquidation looms

President Donald Trump said Friday that his administration gave a “final” bailout proposal for Spirit Airlines as the budget carrier could be forced to liquidate without a lifeline.

Talks with bondholders for a government bailout this week have not yet yielded a deal. The Trump administration last month had offered a $500 million loan that could have given the government up to a 90% stake in the Florida airline, according to people familiar with the matter who requested anonymity to speak about the discussions.

“If we could do it, we’d do it, but only if it’s a good deal this weekend, because they haven’t gotten a deal looking at it,” Trump said. “I said I’d like to save the jobs but we’ll have an announcement, sometime today we gave them. We gave them a final proposal.”

Spirit declined to comment on liquidation plans. The airline’s lawyer, Marshall Huebner, told a bankruptcy court in New York on April 23 that Spirit’s cash “is not going to last for very much longer.”

The carrier is in its second bankruptcy in less than a year and now has the added challenge of a spike in jet fuel prices amid the Middle East conflict.

This is breaking news. Please refresh for updates.