Spirit Airlines, the ultra-low-cost carrier that helped reshape budget travel in the United States, has shut down all operations following its second bankruptcy, bringing an abrupt end to more than three decades in the aviation industry.

According to CNN, the airline began an “orderly wind-down” effective May 2, 2026, canceling all flights immediately and instructing passengers not to go to the airport. Customer service operations were also suspended as the company ceased operations.

Spirit said it was proud of its impact on the industry but expressed disappointment over the outcome. “It is with great disappointment that on May 2, 2026, Spirit Airlines started an orderly wind-down of our operations, effective immediately,” the company said.

The shutdown has left thousands of passengers stranded, with flights canceled and bookings halted. Customers who booked directly are expected to receive refunds, while others must seek reimbursement through travel agents or bankruptcy proceedings.

The collapse also puts an estimated 17,000 jobs at risk, including airline staff and contractors. Industry analysts warn the loss of Spirit’s low-cost capacity could push airfares higher across the U.S. market.

Spirit’s closure marks one of the most significant airline failures in recent U.S. history and the rare full shutdown of a major carrier rather than a merger or restructuring.