Spanair has ceased operations. This is not unusual for a troubled airline, however the sudden action with little warning resulted in the cancellation of over 200 flights, leaving tens of thousands of passengers stranded.

Spanair stopped operations on 27 January due to a lack of funding from a consortium led by the Catalan government which holds a majority stake in the airline. The investment group cited the economic hardships the region is facing among the reasons it refused to continue funding the airline. The economic downturn that has hit multiple European countries has affected Spain greatly and pressures to reduce costs have been felt throughout the country. Competition from other low-cost carriers and the airline's struggle to rebound from a 2008 crash exacerbated the problems for the carrier.

Spanair has provided information for passengers affected by the shutdown in a special communication posted on their website. Unused tickets will be refunded but details are still being finalized for those who paid with cash or bank transfer through a travel agent. For those who paid using a credit card, the airline recommends that refund requests be made directly with the credit card issuer.

Spanair has been in contact with other airlines, particularly Vueling, Iberia and Air Europa and asks that passengers refer to each airline's website for details on travel agreements that may include special fares. Despite having been a member of the Star Alliance, Spanair warns that this is no guarantee that affected passengers will be protected on flights operated by member airlines.