With jet fuel prices still not seeing a significant decrease from the jump that occurred immediately after the U.S.-Israeli strike on Iran in February 2026, numerous smaller airlines have ended up running out of funds to the point of having to file for bankruptcy later in the year.
Mexican holiday carrier Magnicharters filed for bankruptcy protection in Mexico City in May while British cargo airline European Cargo entered administration, which is the equivalent of bankruptcy in the United Kingdom, at the start of June.
Spain’s Volotea, Swiss charter airline Air Mountain, Latvian flag carrier AirBaltic, and Romanian low-cost airline AnimaWings are some of the other recent names to make headlines for entering either preliminary or full bankruptcy proceedings.
Budget airline Dan Air asks to enter insolvency proceedings in Romanian court
Low-cost airline Dan Air, which initially launched as a charter airline in 2018 and began commercial passenger flights in 2023, has now become the second Romanian airline to request the right to enter insolvency proceedings in the country’s Ilfov Tribunal.
The airline operates flights from Bucharest Henri Coandă International Airport (OTP) and George Enescu International Airport (BCM) in Bacău to dozens of European cities such as London, Dublin, Turin, Paris, and Dortmund. Its name is unrelated to Dan-Air, a United Kingdom-based cargo and charter airline that was merged into British Airways in 1992.
Related: Air Canada cancels all flights to U.S. state due to low demand
According to reporting from local Romanian press, Dan Air saw the debt that it owes to various creditors grow from 90 million Romanian lei ($19 million USD) in 2024 to 126.3 million lei (roughly $26.5 million USD) in 2025.
The airline itself could not be reached for a prompt comment on its situation but has previously told local media that it does not expect its flight schedule to be disrupted by its restructuring efforts. Dan Air has a reported fleet of three aircraft, an Airbus A319-100 and two Airbus A320-200s.
Dan Air
Dan Air says European flights to go on as scheduled despite insolvency process
Along with the passenger flights, the carrier operates ACMI (Aircraft, Crew, Maintenance, Insurance) services and charter flights for a Romanian customer base.
“Choose safety and comfort! Discover all our destinations and enjoy the unique benefits along with deals on air tickets,” the airline writes on its website to promote its flight services.
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Ilfov Tribunal has not yet set a date to hear Dan Air’s request to enter bankruptcy proceedings but this is typically done within a few weeks of the carrier’s application.
These other airlines filed for bankruptcy or shut down in 2026:
- Flamingo Air and Aerodiana: The regional airlines with large client bases among tourists to the Bahamas and Peru, respectively, currently have suspended AOCs after fatal accidents in their home countries in July 2026.
- Spirit Airlines: The largest airline shutdown of the year occurred when Spirit Airlines canceled all remaining flights on May 2. Although the airline had filed for Chapter 11 protection twice before, the skyrocketing price of jet fuel dealt the final blow.
- Magnicharters: The Mexican low-cost airline ended up canceling all flights and filing for bankruptcy in a shutdown that left thousands stranded.
- Starflite Aviation: Houston-based Starflite Aviation had its AOC license revoked in March 2026, amid FAA claims that owners falsified pilot training records to bypass safety audits.
- AlpAvia: Slovenian charter airline AlpAvia also shut down in March 2026 after years if financial problems.
Related: Another airline, OMNI Aviação, loses license after bankruptcy
