RIP Spirit Airlines & GameStop Wants to Buy eBay for $56B

This Monday episode of Morning Brew Daily covers the shutdown of Spirit Airlines, GameStop's audacious $56 billion bid for eBay, nostalgic notes on Ask Jeeves' end, and weekend standouts including Berkshire Hathaway's leadership shift and the Savannah Bananas' record crowd. Hosts Neil Freyman and Toby Howell mix tributes, business breakdowns, and a preview of the week ahead in markets and events.

Spirit Airlines Shuts Down

Spirit Airlines ceased operations early Saturday after its final flight from Detroit to Dallas, citing a lack of hundreds of millions in needed liquidity. CEO Dave Davis called it tremendously disappointing, with 17,000 direct and indirect jobs lost. The ultra-low-cost carrier had filed for bankruptcy twice before, but spiking fuel prices from the war in Iran added $10-15 million monthly in costs, pushing it over the edge—equivalent to $50 million weekly at peak.

Spirit missed the industry shift toward premium cabins, which generate most profits for rivals like Delta and United. It last turned a profit in 2019. A blocked 2024 merger with JetBlue by the DOJ drew blame, alongside poor management and the fuel crisis. As a result, fares on affected routes rose 14% or more in past pullbacks, with some jumping over $100. Spirit held just 1.1% of domestic flights recently, down from 3.4% in 2024.