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Spirit Airlines collapse signals wider pressure on air travel

Published: 4 May 2026

Rising jet fuel costs linked to the conflict in the Middle East helped push already-struggling Spirit Airlines to collapse, Karl Moore, an associate professor at 鶹ýվ’s Desautels Faculty of Management, told CTV News.

Moore said the discount carrier had faced financial trouble, but the sharp increase in aviation fuel prices left little room to absorb further shocks. The fallout is likely to reach beyond one airline.

While Canadian carriers are unlikely to face bankruptcy in the near term, passengers should expect higher fares, more cancellations and continued disruption. “Costs are going up and will continue to go up,” Moore said. 

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