Spirit Airlines (NK, Fort Lauderdale International) has reached a monthly credit agreement with International Aero Engines (IAE), an affiliate of Pratt & Whitney, as compensation for its ongoing engine recalls and accelerated inspections of the PW110G-JM engines powering its fleet.
The estimated impact of the agreement on Spirit’s liquidity is currently expected to be between USD150 million and USD195 million, primarily determined by the number of days accumulated in 2025 in which Spirit aircraft are or were unavailable for operational service due to the GTF engine issues, the company said in a filing to the markets.
This is the second credit agreement that both parties have struck. In March 2024, they signed the first deal, accounting for 2024, which was recognised “as a reduction of the purchase price of the goods or services acquired from IAE during the period, which included the purchase of maintenance, spare engines, and short-term rentals of spare engines.” It had a value of USD150.6 million.
ch-aviation module shows Spirit’s fleet comprises 215 aircraft, namely sixty-three A320-200s, ninety-one A320-200Ns, twenty-nine A321-200s, and thirty-two A321-200NX. As of June 2025, thirty-six of the A320-200Ns are currently inactive.
Spirit Airlines currently estimates that the engines will require removal and inspection until at least the end of 2026, resulting in lower capacity.
