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Americans on a tight budget lament the loss of Spirit Airlines, a low-cost airline
U.S. travelers were upset to hear of Spirit Airlines' closure on Saturday. They said that the closure of this ultra-low cost carrier eliminated one of their few options for air travel. Spirit Airlines abruptly canceled flights overnight, leaving passengers and staff stranded in the U.S. Caribbean and Latin America. The airline collapsed under financial pressures, including a sharp increase in fuel prices due to the Iran War. Former Spirit customers have praised the airline on social media sites such as Reddit or X where they vent their frustrations over delayed or cancelled flights. Reddit user AioliUpset7805 wrote on a thread regarding the airline's closing, "They were truly one of the last cheap options -- 'get my there as quickly and cheaply as possible'." "I'll be missing them." Spirit Airlines, which has been operating since the early 1990s and is known for offering?some the cheapest flights available in exchange for limited services and luxuries,' became well-known for its 'limited luxuries, but high quality service. Spirit, a Florida-based airline, charged for bottled waters, for instance, and didn't provide "reclining seats". Spirit Airlines' lack of amenities has been the subject of many online memes. However, many travelers say that Spirit made it possible for Americans to travel with their families or visit relatives in distant parts of the United States. BigBubby305, a Reddit user, said that vacations were now out of the reach of millions of families. The price difference between Spirit Airlines and other carriers such as Delta and American Airlines can be more than $1,000. Other Airlines Seek to Fill Gap Overnight, at the Orlando International Airport, a digital departure sign was filled up with red alerts of Spirit flight cancellations. Destinations ranged from Nashville, Tennessee to San Juan Puerto Rico. After Spirit ceased operations, several U.S. airlines, including Frontier, JetBlue, and Southwest, announced discount fares as well as plans for new routes this summer. Airlines such as?Delta, American Airlines and Frontier offered temporary lower fares for Spirit passengers. Spirit's closing comes as prices are rising across the American economy. This has been exacerbated by the U.S.-Israeli conflict against Iran. According to the latest data, Spirit's demise, and a recent doubled in jet fuel prices are likely to increase costs for American travelers. "I always took pride in saving people money, and allowing them to travel who couldn't otherwise afford it," wrote Reddit users Coryntrevors. They piloted Spirit Airbuses' signature bright yellow Airbuses from Las Vegas for more than a decade. "To close down for good tonight was one of the most saddest moments of my life." Reporting by Laila KEARNEY in New York. Editing by Ross Colvin, Keith Weir and Keith Weir
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Spirit Airlines passengers stranded after collapse of budget airline are helped by airlines
The U.S. Government and major airlines scrambled on Saturday to assist stranded employees and passengers after the bankrupt discount airline Spirit Airlines ceased operation. This was the first industry casualty associated with the Iran War. The airline's collapse over night following a double-digit increase in jet fuel prices due to the Iran war will cost thousands of jobs. This is a major blow for President Donald Trump who had proposed $500 million in order to save Spirit, despite the opposition of many Republicans and some of his closest advisors. Spirit's failure highlights the unintended effects of the U.S. and Israel war against Iran despite a tense ceasefire. Spirit, which was already struggling to make a profit prior to the fuel shocks, is now facing a surge in jet fuel prices while Iran continues to block nearly all traffic across the Strait of Hormuz. The U.S. Navy also blocks Iranian ports. Sean Duffy, Transportation Secretary, said at a press conference that creditors rejected the deal in spite of the Trump administration's efforts to save Spirit. Spirit Airlines said that the collapse of the airline would result in the loss 15,000 jobs for employees and contractors. Spirit's biggest creditors, such as Ken Griffin's Citadel and a major hedge-fund, were opposed to the government's rescue. They argued that the terms would dilute their claims because federal financing would be placed ahead of existing debt. FOND TRIBUTES SOCIAL MEDIA Spirit Airlines, which accounted for about 5% of U.S. flights in 2010, is the only U.S. airline to have liquidated within the last 20 years. Spirit kept fares low in markets where it was competing with major carriers. Many people posted nostalgic?posts on the social media platform X, which is where many travelers vent their frustrations over delayed or canceled flights. "Goodbye SpiritAirlines. We in Detroit, or what was formerly known as the Second Hub of #DTW will miss you," said @IUTruthtellers2. Other X users posted their stories about?their experience flying on Spirit. They included the hashtag "RIP" as part of?their messages. The digital departure display at the Orlando International Airport was flooded with red alerts of cancelled Spirit flights, which had destinations ranging from Nashville, Tennessee to San Juan Puerto Rico. United Airlines, Delta Air Lines, JetBlue, and Southwest have all capped ticket prices to help Spirit customers rebook cancelled flights. Customers must present a Spirit flight number in order to qualify. Other airlines offer free seats for Spirit employees to get home. Duffy said, "This is airline industry doing its part." Duffy said that U.S. Low-Cost Carriers have requested $2.5 billion from the government to help them deal with higher fuel prices, but did not believe a bailout "at this time." A LOT OF AIRLINES ARE BANKRUPT OVERNIGHT Duffy took a shot at the former administration under President Joe Biden. He argued that the government's blocking of the merger between JetBlue in 2024 and Spirit was the cause of the airline's demise. Spirit filed for bankruptcy twice in a year, and it had not turned a profit since 2019 Spirit's brand was built around low-cost fares, which were designed for budget-conscious travellers who would not pay extra for checked bags or seat assignments. After the pandemic, passengers opted for comfort and experience-based travel. Ultra-low-cost airlines struggled to adapt. JetBlue and Frontier Airlines will also benefit from Spirit's closure, as they are both suffering from cost shock. Cirium data shows that Spirit has 4,119 domestic flights between May 1 and 15 with 809,638 available seats. Trump said that on Friday, the White House gave Spirit's creditors and the airline a final proposal to save the airline after the talks had reached a deadlock over a $500-million financing package which would have allowed the airline to continue operating even if it went bankrupt. Spirit had struck a deal with lenders to help it emerge from bankruptcy in late spring or early August. The'spike in jet-fuel prices' derailed these plans. It threw Spirit's cost projections off and complicated its bankruptcy exit. Spirit's restructuring plans assumed jet fuel prices of $2.24 per gallon in 2020 and $2.14 by 2027. However, the price had risen to $4.51 per gallon at the end of April. The carrier was unable to continue operations without new financing. About a quarter (25%) of airline operating costs are attributed to jet fuel. Cirium data shows that the airline carried around 1.7m domestic U.S. passengers in February. Its market share was 3.9%, down from 5.1% a year ago. (Reporting and editing by Ross Colvin, Keith Weir, and Keith Weir. Sabrina Valle and Laila Kearney, Ismail Shakil and David Shepardson)
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US airline industry does not need bailout and has cash
U.S. Transportation secretary?Sean Duffy stated Saturday that he did not 'think the government needed to bail out low cost airlines who?have asked for $2.5 billion in government relief due?to?high jet oil prices. "I'd say at this point, it's not necessary." They have cash. We would be the lender of last recourse if they wanted to go to the U.S. Government. Duffy said at a Newark Airport press conference after the collapsed of budget airline?Spirit Airlines that if they can find dollars on the private market, I think it's best for them. A group of U.S. low-cost airlines, including Frontier, Avelo and others, announced on Monday that they had proposed to 'exchange warrants which could be converted into equity stakes in exchange for $2.5 billion?in U.S. Government assistance. The?Association of Value Airlines has confirmed that it requested President Donald Trump's Administration to create a $2.5billion liquidity pool to be used exclusively for offseting incremental fuel costs. This was "a necessary and targeted step to stabilize operations and maintain airfares at affordable levels during this volatile period." The group has also asked Congress to suspend the federal excise taxes of 7.5% on tickets and $5.30 for each segment. The fees could offset a third of the cost increase due to higher jet fuel. The pitch focuses on one of the 'unintended consequences' of the U.S./Israeli war against Iran: a rise in jet fuel costs that has nearly doubled costs. This has squeezed margins and pushed weaker airlines to the brink. Last week, the chief executives of low-cost carriers and Duffy met with Bryan Bedford, chief of the Federal Aviation Administration in Washington to discuss this proposal. The group arrived at $2.5 billion by estimating the amount of jet fuel it will spend this year in comparison to earlier estimates. (Reporting and editing by William Maclean, with David Shepardson)
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Taiwan President arrives in Eswatini, after blaming China on cancellation of previous trip
Taiwan President 'Lai Ching Te' arrived in Eswatini Saturday, two 'weeks after being forced to postpone his trip to a diplomatically allied country because Indian Ocean countries had blocked the flight. Taiwan's Government blamed Beijing for this. Eswatini, in southern Africa, is one of only 12 small countries, mostly from Latin America, Caribbean, and Pacific, which have diplomatic relations to Taiwan. The government of Taiwan, a 'democratically-ruled island that China considers part of its territory, is committed to maintaining ties with the small states. Taiwan said that the Seychelles Mauritius and Madagascar unilaterally revoked Lai's flight permit to cross their airspace because of Chinese pressure. It was the first occasion a Taiwanese president cancelled a foreign trip due to denial of access to airspace, indicating what appeared to a new Chinese policy?to curtail the island's engagement with the international community. In posts?on both his Facebook and X account, Lai stated that he arrived in Eswatini Saturday for a trip which was not announced by either of the two governments. "Taiwan won't be deterred from its goals by outside pressures." "Our resolve & commitment is underpinned by the understanding of Taiwan's continued engagement with the world – no matter the obstacles faced," he wrote on X in English. His posts and a statement from his office about the trip did not mention how he got there. However, he posted a photo of himself getting off what appeared to be an Eswatini Government jet?which brought Deputy Premier Thulisile dladla this week to Taipei. China's Foreign Ministry claimed that Lai had "secretly boarded a foreign aircraft and snuck out of Taiwan while lavishly spending public funds". It said that no matter how Lai's Democratic Progressive Party officials colluded with external forces, or in what form they "bought the loyalty of others," it was a futile attempt?that could not change the fact Taiwan is a part of China. Lai's cancelled flights last month prompted criticism from the United States and concern among the European Union. Britain, France and Germany were also concerned. Lai rejects Beijing’s claims of sovereignty, saying that Taiwan has the right to engage in international relations and that only its people can determine their future. Ben Blanchard reported from Taipei, Engen Tham contributed additional reporting in Shanghai and Keith Weir edited the piece.
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Sources say that the Air India CEO search has narrowed down to Singapore Air executive Kannan and insider Aggarwal.
Two sources who have direct knowledge of this matter say that Vinod 'Kannan, the Singapore Airlines CEO and Air India's commercial head Nipun Aggarwal will be the two frontrunners for the position of new CEO at Air India. This suggests that the search for the next CEO of India's second largest airline is close to completion. Last month, New Zealander Campbell Wilson announced his resignation as the airline faced persistent losses and regulatory oversight. One source said that the board of Tata Sons - the majority owner of 'airline' - is considering both names. There has not been a final decision and another candidate could emerge as the frontrunner. Tata Sons' spokesperson did not reply to an inquiry for comment. Air India refused to comment. Aggarwal and Kannan didn't respond to texts requesting comment. Singapore Airlines owns a?roughly 25% stake in Air India. The rest is owned by Tata Sons. Air India's choice of a CEO is crucial at this time. The airline has been struggling with high losses, increased regulatory scrutiny following a fatal crash last year and operational disruptions caused by the Iran War, which have driven up costs. In April last year, Pakistan banned Indian carriers in its airspace following tensions between the two neighbours. Kannan was the CEO of Vistara - the joint venture between Tata Airlines and Singapore Airlines which was later merged with Air India. Kannan, an aviation veteran, began his career in 2001 with Singapore Airlines and has held a variety of roles within the airline. Aggarwal became the CEO of Air India in 2022, after Tata Sons acquired the airline from the Indian government. According to Air India, he played a major role in the transformation of Tata Group Companies between 2017 and 2020. He has also worked as an investment banker with Bank of America Merrill Lynch.
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Kenya flood death toll reaches 10 as dam overflow raises alarm
Police said that at least 10 people died in 'Kenya as a result of heavy rains which caused landslides and flooding across several regions. Authorities warned that rising river levels may threaten communities downstream of a major hydropower system. Seven deaths have been reported in eastern Kenya. Two bridges were damaged by the police in Kwale County on the coast, and in Kitui in eastern Kenya. Landslides also occurred in Elgeyo Marakwet County in the Rift valley. Authorities say that the rains are falling 'within Kenya’s normal wet season from March to May, but intense downpours have increased flooding and landslides. Kenya National Highways Authority reported that traffic was disrupted by a landslide near Kolol which blocked the Iten-Kabarnet Road. Repairs were underway and traffic was diverted. Kenya Red Cross has confirmed that there are 'unconfirmed' reports of missing people and marooned families in Mukuru Kwa Njenga - a densely-populated area of Nairobi - and is providing relief. The interior ministry also placed the lower Tana River Basin on high alert. It warned that heavy rains upstream increased the inflows to the Seven Forks Dam system's reservoirs and raised the flood risk downstream. The ministry warned that the?Tana River Delta could be affected. This area is home to over?100,000.
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There are at least 11 deaths in western Mexico following a bus crash.
The Labor Day holiday weekend in Mexico turned tragic on Friday when at least 11 people were killed and 31 injured after a 'tourist bus'?crashed? in the western state of Nayarit. The Nayarit government said that the bus was traveling from Jalisco and veered off of the highway near Amatlan de Canas. Officials said that the passengers were on their?way to a recreation center in Nayarit. Nayarit,?Jalisco and other emergency crews responded to the call. They closed the road and conducted rescue operations as well as investigated the cause of the accident. The Nayarit government shared photos of the bus lying on its side, covered in mud. In Mexico and Latin America, deadly bus accidents are common. At least 10 people died and 61 others were injured when a freight rail collided with a double-decker bus in central Mexico. In February 2025 in southern Mexico, more than 40 people died when a bus travelling to Tabasco (from the tourist city Cancun) hit a trailer truck and caught on fire. In Mexico, passenger rail routes are few and far between. Buses are the main mode of transportation. The government of President Claudia Sheinbaum is working to dramatically expand the nation’s passenger rail network in order to connect many areas of northern and central Mexico. (Reporting and editing by Rod Nickel. Brendan O'Boyle)
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Trump announces a 25% tariff on EU automobiles
U.S. president Donald Trump announced on Friday that he will increase tariffs to 25% on?cars?and trucks imported from the European Union, claiming the bloc has not adhered to its trade agreement with Washington. In a post on social media, he said: "Based on the European Union not adhering to our Trade Deal fully agreed upon, I will increase Tariffs for Cars and Trucks entering the United States next week." It is understood and agreed by all that there will be no tariff if the Cars and Trucks are produced in U.S.A. Plants." Trump told reporters in the White House that a higher tariff on European cars would force them to move production more quickly to the U.S. "We have an agreement with the European Union on trade. The European Union was not following the agreement. "I raised the tariffs for cars and trucks by 25%. That's millions of dollars going into the United States and forces them to move the factory production much quicker." SLOW IMPLEMENTATION Last year, the Trump administration imposed a 25% tariff on automotive imports from around the world under a "national security trade law". However, in August, they reached an agreement with EU to reduce these duties to 15% net, including previous duties. In exchange, EU agreed to remove duties on U.S. Industrial Goods, including Autos, and accept U.S. Safety and Emission Standards on Vehicles. The EU has passed legislation to reduce tariffs in March, but the process will not be complete before June as EU governments and European Parliament negotiate final texts. Bernd Lange is the chairperson of the European Parliament’s international trade committee. He said that President Trump's behaviour was unacceptable. This latest move shows just how unreliable U.S. is. In the case of Greenland, we have seen the U.S. make arbitrary decisions. This is not the way to treat partners. Lange stated that we must now respond with clarity and firmness based on our position. A Trump administration official was asked to explain Trump’s move. He said: "The EU still hasn't complied with autos agreement after eight months." Ford Motor shares fell by 2%, while Stellantis shares dropped by 1.7%. General Motors shares dropped 1.1%. Ryan Majerus is a former senior U.S. Commerce Department Official who now works as a partner at King & Spalding. He said that the president's decision may also be'related' to Trump's frustration over the fact that some European countries 'balked' at supporting the U.S. and Israeli war against Iran. Majerus stated that "this is not going sit well with the EU and I am not sure the Administration cares because they are so antagonistic towards the EU." Reporting by Daphne Psaledakis; editing by Michelle Nichols & Paul Simao
China offers incentives for Taiwan after opposition leader's visit
China announced 10 new incentives for Taiwan on Sunday, including easing tourist restrictions, allowing "healthy" TV dramas and facilitating the sale of food, after a visit from the island's opposition leader.
Cheng Li-wun (chairwoman of Taiwan's largest political opposition party, the Kuomintang) made this decision at the end of a visit to China. She spoke with Chinese President Xi Jinping about the importance of peace and reconciliation.
The official Xinhua News Agency announced 10 measures that "explore" a number of issues, including the resumption of flights between China and Taiwan, and the permission to individuals from Shanghai or Fujian Province to visit Taiwan.
Xinhua reported that a mechanism would be created to reduce the inspection standards of food and fishery items, but it must be based on a political platform "opposing Taiwan's independence".
Taiwanese TV dramas, documentaries, and animations will be allowed to air, as long as "they have a correct orientation, healthy contents, and high-quality production," the statement added.
Taiwan's Mainland Affairs Council (which is responsible for the island's China Policy) said in a recent statement that Beijing's "unilateral" concessions are merely poison pills disguised as "generous gifts packages."
It said that the Taiwanese Government supports healthy and orderly exchanges across the Strait, but these should not be dependent on political objectives or preconditions.
The?KMT issued a statement in which it welcomed China's declaration, calling it a "gift" for the people of Taiwan.
China has refused to speak with Taiwan President Lai Ching Te, claiming that he is a separatist. He rejects Beijing’s claims of sovereignty over the democratically-governed island.
China and Taiwan blame each other for the lack of Chinese tourism on the island following the COVID-19 pandemic.
Taiwan has also complained before about Chinese restrictions on the import of certain agricultural and aquatic products. Taiwan claims that China uses unjustified excuses in some cases to prevent the spread of pests.
(source: Reuters)