Spirit Airlines' time ran out Thursday evening. In a 15-minute phone call, Commerce Secretary Howard Lutnick and CEO Dave Davis agreed the budget carrier had run out of options after weeks of rescue talks. The conversation marked the end of a saga involving negotiations between members of President Trump's inner circle, major U.S. airline executives, and investment firms tied to Spirit's bankruptcy.

The collapse spells the final chapter for a company that helped pioneer the ultradiscount model in America. Known for bright-yellow planes with "Howdy" painted on wing tips, Spirit ratcheted up competition for travelers' dollars while drawing ire for charging fees on everything from water to printed boarding passes. The airline could cease operations as early as Saturday morning.

Davis, an industry executive picked to lead the embattled airline about a year ago, thanked Lutnick for his efforts, people familiar with the discussions said. Lutnick referred him to the Transportation Department for help winding down the Florida-based carrier. The failed rescue leaves passengers scrambling and marks one of the most high-profile airline bankruptcies in recent U.S. history.