Spirit Strikes Deal With Noteholders to Exit Bankruptcy (1)

Spirit Aviation Holdings Inc. announced Tuesday that it has struck an agreement with noteholders that will allow the budget airline to exit bankruptcy later this year.

Spirit lawyer Marshall Huebner said during a New York court hearing that the company has struck an agreement with a key creditor group on the terms of the Chapter 11 exit plan that will trim billions of dollars in debt and reduce the cost of its fleet. The airline expects to emerge from bankruptcy in late spring or early summer, he said.

The restructuring is anticipated to reduce Spirit’s debt and aircraft lease obligations ...