Spirit Airlines CEO states that the airline is not considering Chapter 11 bankruptcy, citing encouragement from the post-JetBlue plan.

• JetBlue Airways' failed takeover and Pratt & Whitney engine recall are causing Spirit Airlines to struggle.
• Ted Christie, CEO, stated that the company has no plans to file for Chapter 11 bankruptcy.
• The company has revised its business strategy to eliminate many flight-change fees and include additional perks in its bundled packages.

Ted Christie, CEO of the budget airline, stated on Friday that the company is not considering filing for Chapter 11 bankruptcy and is optimistic about its future after a failed takeover attempt by.

Airbus planes have been grounded due to a Pratt & Whitney engine recall, which has added to Spirit's challenges with shifting travel demand and increased competition in the U.S. market.

In February, JetBlue announced it is seeking to refinance after a federal judge blocked its planned takeover of Spirit on antitrust grounds, raising concerns on Wall Street about the money-losing airline's ability to address its debt.

"We are proudly executing our plan after exiting the merger agreement with JetBlue and are encouraged by the initial results of our standalone plan," Christie stated at an annual shareholder meeting on Friday. "We are not currently considering a Chapter 11."

On Wednesday, S&P Global Ratings lowered its rating for Spirit, casting doubt on its capacity to secure financing.

The company's limited cash flow generation and poor operating performance, combined with management's announcement of seeking lenders to explore solutions for its upcoming maturities, suggest a high likelihood of a distressed exchange.

Earlier this week, it was announced that the finance chief of the company is leaving to become the CFO at Hertz.

Through Thursday's close, Spirit's shares have lost more than 77% this year. The company has implemented various measures to conserve cash, such as deferring some Airbus deliveries and engaging in sale-leaseback deals.

The airline has recently altered its business strategy by abolishing most flight modification fees and offering bundled perks with a low-cost fare.

The airline has made some changes to its policies, including softening them, extending the life of flight credits from 90 days to a year, and increasing the maximum weight of checked bags from 40 to 50 pounds.