Spirit Airlines, Inc.

Spirit Airlines files for Chapter 11 bankruptcy, with a plan to reduce debt, enhance financial flexibility, and improve the customer experience. The restructuring includes a $350 million equity investment, $300 million in DIP financing, and the equitization of $795 million in debt.

Related tickers: SAVE.

JetBlue may benefit from the potential bankruptcy of rival low-cost carrier Spirit Airlines, as it could lead to a reduction in competition and allow JetBlue to pick up additional customers. However, JetBlue still faces challenges, including operating losses and a significant debt burden.

Related tickers: JBLU, SAVE.