Budget carrier Spirit Airlines has filed for bankruptcy protection after emerging from Chapter 11 reorganization earlier this year. The airline plans to continue flying as usual, honoring tickets, credits, and loyalty points. The company’s CEO stated that more work needs to be done to position Spirit for the future.

Flight attendants were advised to prepare for all scenarios by union leaders. Spirit Airlines has struggled since the pandemic, facing rising operational costs and mounting debt. The airline now carries $2.4 billion in long-term debt and reported a negative free cash flow of $1 billion at the end of the second quarter.

The airline is under pressure from larger carriers offering low-cost options. Spirit is trying to tap into a growing market for more upscale travel. The parent company of Spirit Airlines expressed doubts about its ability to stay in business due to adverse market conditions.

Cost-cutting efforts include furloughing pilots and downgrading captains. Despite these measures, Spirit Airlines needs more cash and is considering selling off aircraft and real estate. Buyout attempts from competitors like JetBlue and Frontier have been unsuccessful during Spirit’s bankruptcy process.

Read more at Yahoo Finance: Spirit Airlines files for bankruptcy again but vows to keep flying