Treasury Secretary Scott Bessent is pointing fingers at some familiar names for the collapse of Spirit Airlines. Over the weekend, he blamed Senator Elizabeth Warren (D-Mass.) and former Transportation Secretary Pete Buttigieg for the downfall of Spirit Aviation Holdings Inc. (FLYYQ), arguing that the Biden administration's opposition to JetBlue Airways Corp.'s (JBLU) proposed $3.8 billion takeover stripped the ultra-low-cost carrier of a potential financial lifeline before it halted operations.

Bessent Blames Blocked JetBlue Merger

Speaking on Fox News' "Sunday Morning Futures," Bessent said Warren's September 2022 letter opposing the JetBlue-Spirit deal helped push regulators against the merger. He also criticized Buttigieg, calling him "the worst transportation secretary in history when he came to the office," and said the Biden administration's stance left Spirit less resilient. A federal judge blocked the deal in January 2024, ruling it would violate antitrust law and hurt fare-conscious travelers.

Bessent repeated the argument on X. "Had Spirit Airlines been allowed to merge with Jet Blue, it would have given them much more resiliency," he wrote, adding that Warren, Buttigieg and Biden administration allies left "dozens of regional airports" facing lost service and "thousands of jobs" at risk.

Warren Points To Court And Fuel Costs

Warren had already pushed back Saturday, saying politicians did not block the deal. She noted that a federal judge ruled the merger illegal and argued Spirit's failure stemmed from the carrier's weak finances and surging fuel costs.

Spirit's shutdown triggered disruption across U.S., Caribbean and Latin American routes. Reuters reported on Sunday that the airline had nearly completed customer refunds after abruptly canceling flights, while rival carriers offered discounted fares to stranded passengers. Spirit had scheduled more than 4,000 flights through May 15 before suspending operations.

Duffy Calls Merger Opposition Massive Mistake

Spirit executives and industry analysts also pointed to jet fuel as a breaking point. CEO Dave Davis cited a "sudden and sustained rise in fuel prices," while GasBuddy analyst Patrick De Haan said Spirit's restructuring assumed jet fuel near $2.24 a gallon in 2026, far below late-April levels near $4.51.

The airline was already burdened by debt, had filed for bankruptcy before, and failed to secure a proposed $500 million government bailout after lender resistance.

Transportation Secretary Sean Duffy also backed Bessent on Sunday, calling opposition to the Spirit-Jet-Blue merger a "massive mistake."