United Airlines Holdings Inc (NASDAQ:UAL) shares are trading higher by 4.9% to $58.39 Friday afternoon. Shares of airline companies are trading higher following a report suggesting that Spirit Airlines is considering bankruptcy.

What's Happening: United Airlines shares rose Friday as news broke that budget carrier Spirit Airlines was engaging in bankruptcy talks with bondholders, potentially signaling a major shift in the competitive landscape of the U.S. airline industry.

Spirit, grappling with $3.3 billion in debt and facing the possibility of a Chapter 11 bankruptcy filing, has seen its stock plummet by more than 40% in pre-market trading, leading investors to reassess...