As Spirit Airlines continues to struggle with financial solvency, the low-cost carrier is in the process of obtaining court approval to cancel 87 aircraft leases from 16 different owners. The aircraft are predominantly Airbus A320neo later-generation airliners, however, a portion are also A320ceo legacy jets.
These aircraft are predominantly powered by Pratt & Whitney’s PW1100G-JM geared turbofan engines, which are still subject to widespread recalls due to manufacturing defects. The handicapped narrowbody jets leave prospective buyers in a bind, leading lessors to consider scrapping as a better alternative than finding new lessees.
The Dwindling Spirit Fleet
Lessors are considering scrapping the returned A320neo aircraft to maximize their financial return due to a critical shortage of valuable spare engines caused by manufacturing defects in the Pratt & Whitney GTF engines. The jets average less than three years old according to Planespotters.net, yet dismantling the aircraft for parts, especially the engines, can be more profitable than the high cost and long delays associated with repairing and re-leasing the whole jet.
The immense demand for engines means a single upgraded GTF engine can command a high market value, and the combined value of salvaged engines and other components (avionics, landing gear, etc.) from a parted-out jet often exceeds the value of the aircraft as an intact, working unit.
The inspection and required replacement of the defective discs necessitate the removal of the engine from the aircraft, complete disassembly, and reassembly. This labor-intensive process is why repairs are taking 250-300 days per engine, causing the prolonged and mass grounding of aircraft globally, according to Flight Global.
Aerospace Global News reported that aviation industry data reporter, Ishka, lists 19 aircraft as already having been parted out, with lessors and prospective buyers considering disassembly a potentially better alternative than waiting for engine repairs. AGN recounted this excerpt from the analysis:
“One part-out source told Ishka that he thinks there might be as many as 10 A320neos sold to the part-out market in the first half of next year, including some aircraft potentially from IndiGo.”
What’s Up With Pratt?
Pratt & Whitney has been struggling with the recall of its PW1100G-JM geared turbofan engines since July of 2023. The initial discovery of the specific metal anomaly that prompted the recall was made earlier, in March 2020, following an uncontained engine failure. Nearly a third of the global fleet has been grounded as hundreds of planes have been found to be impacted by the defective components, according to Reuters.
The manufacturer discovered that parts produced between 2015 and 2021 were all potentially impacted by the material impurities. P&W and its parent company RTX have struggled to manage the widespread effects and ramped up inspections and repairs on a massive scale as well as providing cash compensation, but operators have continued to suffer large portions of their fleet unavailable for extended times.
22 Aircraft Grounded: ITA Airways Faces Fleet Headache Over Pratt And Whitney Engine Recalls
Engine troubles continue to plague the airline.
Spirit’s Struggle In 2025
Spirit emerged from the first round of bankruptcy petitions in March of this year, and the airline was anticipated to start the recovery process through restructuring. The airline has continued to struggle to the point where it is once again facing collapse, with a return to bankruptcy court in August 2025, according to CNBC.
In the wake of the pandemic, Spirit Airlines faced a different landscape than the pre-COVID era. Not only was its low-cost model weak in the more premium-focused marketplace, the “Big Three” airlines (United, Delta, and American Airlines) had also made their economy offerings more competitive with LCCs.
The corporation reported enormous net losses, including a $246 million loss in the second quarter of 2025, which exceeded the loss in the same time in 2024. In its Q3 2025 report, the net loss amounted to roughly $586 million. Efforts to merge with Frontier Airlines and later JetBlue Airways were rejected by regulators on antitrust concerns, leaving Spirit with no obvious path to acquiring scale and financial stability.
