The potential government bailout of Spirit Airlines is sparking significant backlash on Capitol Hill. Multiple high-profile lawmakers are questioning the wisdom of using taxpayer dollars to rescue a carrier that has struggled through two bankruptcies in just two years. Per The Hill, the administration is currently weighing a rescue package of potentially $500 million in financing, which could leave the federal government owning up to 90% of the airline.
Senator Ted Cruz, who serves as the chair of the Senate Commerce, Science, and Transportation Committee, immediately hit out on X: “This is an absolutely TERRIBLE idea.” He drew a direct comparison to the Troubled Asset Relief Program established during the 2008 financial crisis, where the government purchased billions in assets from financial institutions.
