Spirit Airlines hangs by a thread. Jet fuel prices have doubled, smashing the budget carrier’s bankruptcy escape plan. Creditors circle. Liquidation looms.

The ultra-low-cost pioneer filed for Chapter 11 twice in under two years—first in November 2024, emerging in March 2025 after slashing $800 million in debt, then again in August 2025 with $7.4 billion in debt and a 214-aircraft fleet. Now, under “Project Soar,” it aims to shrink to 76-80 planes by Q3 2026, cut debt to $2 billion, and exit by early summer. But fuel costs assumed at $2.24 a gallon for 2026 now hit $4.24—and spiked to $4.88 in key hubs. That’s no hiccup. It’s a crisis.

Fuel is an airline’s second-biggest expense after labor. The surge stems from the U.S. war with Iran, disrupting supplies since late February. Spirit’s annual report warns of an “immediate and substantial negative impact.” J.P.…