Spirit Airlines appears to be on the brink of collapse. According to the Wall Street Journal, citing people familiar with the matter, the budget carrier is now preparing to shut down after failing to secure a roughly $500 million federal rescue package it had been negotiating with the Trump administration.
The proposed deal would have swapped cash for warrants potentially giving the government control of up to 90% of the company but internal disagreements within the administration and pushback from some bondholders brought the plan to a halt.
Additionally, just weeks earlier, President Trump had publicly confirmed he was considering a taxpayer-funded takeover, saying he would "love to be able to save an airline." Without that lifeline and with rising fuel costs squeezing the airline further, Spirit is said to be preparing to liquidate its fleet and wind down operations, though the exact timeline is not clear yet.
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If it does shut down, it would be the first US carrier to liquidate since the 2008 recession, according to the Guardian. At the center of this unfolding story is the airline's current CEO, Dave Davis. Here are five key things to know about him.
{{/usCountry}}If it does shut down, it would be the first US carrier to liquidate since the 2008 recession, according to the Guardian. At the center of this unfolding story is the airline's current CEO, Dave Davis. Here are five key things to know about him.
{{/usCountry}}Here the five things to about him:
- Dave Davis was appointed CEO of Spirit Airlines in April, 2025, according to Reuters, shortly after the airline emerged from bankruptcy and restructured its board.
- He joined from Sun Country Airlines, where he had served as finance chief since 2018 and earlier worked as CFO at Northwest Airlines before its merger with Delta Air Lines.
- His appointment followed the sudden departure of former CEO Ted Christie, as part of a broader leadership shakeup, with an interim leadership group managing the airline before his arrival.
- Davis has been tasked with leading a business overhaul and helping Spirit move away from its no-frills image toward a more premium airline model after years of losses and failed merger attempts, including a blocked deal with JetBlue Airways, as per Reuters.
- According to Business Insider, in early September 2025, Davis received $2.9 million as a retention bonus to stay during the airline’s second bankruptcy within a year, part of over $1 million payouts to top executives as the company struggled financially.
As Spirit Airlines faces an uncertain future, Dave Davis now finds himself leading the company at one of its most critical moments.