Citadel has parted ways with credit portfolio manager Zachariah Barratt following losses on Spirit Airlines and other trades. Barratt, who joined the hedge fund in 2021 after leading corporate credit trading at Apollo Global Management, oversaw positions that soured when the budget airline filed for bankruptcy twice within a year.

Citadel held $166.4 million of Spirit's senior secured notes when the airline filed for Chapter 11 protection again in 2024, along with 1.3 million common shares and 5.5 million warrants. The hedge fund was the largest single holder of Spirit's senior notes, owning approximately $149.3 million through affiliates during the initial bankruptcy filing.

Despite Barratt's departure, Citadel remains strong with about $69 billion in assets as of March 1. The firm's flagship multistrategy hedge fund climbed 10.2% last year, though it doesn't operate a separate credit fund. Barratt declined to comment, referring inquiries to Citadel's media relations department, which also declined to comment on the personnel change.