Analysis: US lawsuit to block JetBlue-Spirit merger casts chill over future airline deals

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A U.S. federal lawsuit to block JetBlue Airways Corp's purchase of Spirit Airlines has raised hurdles for future airline deals, making it harder for companies to pursue growth and manage costs.

"Americans want more choices and lower prices for airline tickets, not another giant merger," U.S. Senator Elizabeth Warren said on Twitter on Tuesday.

Any airline seeking a merger under the Biden administration will have to be "very careful" about its choices and the way it plans to create value for the traveling public, said Henry Harteveldt, founder of travel consultancy Atmosphere Research Group.The lawsuit against the JetBlue-Spirit deal was widely expected because of the Biden administration's crackdown on large deals between publicly listed companies, analysts said.

"By coming together, we will expand JetBlue's unique offering - where customers do not have to choose between a low fare and a great experience - to boost competition nationally," the airline said on Tuesday. The Justice Department said the planned merger will result in "higher fares and fewer seats, harming millions of consumers on hundreds of routes."

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And now ladies and gentlemen for the worlds largest “worst-airline” EVER created!

Anti-trust laws need to be enforced to keep everything from becoming mega businesses too big to fail. There is no completion in a hand full of companies owning all air travel, all cell power, all internet power, etc

A day late and a dollar short. They should’ve put the kabosh on the AA/Jet Blue deal.

Show this to anyone that asserts the U.S. has a free market economy.

When they merge, they manipulate.

Please now. More choices gives you Chills? Get the hell out of here now.

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WSJ News Exclusive | JetBlue, Spirit Brace for Justice Department Lawsuit to Block Airlines’ MergerJetBlue's CEO said he expects the Justice Department will try to block its planned takeover of Spirit in the coming days Come on this is david stern blocking cp3 to the lakers all over again AndrewTangel nice article. Has the breakup not been paid already?
Source: WSJ - 🏆 98. / 63 Read more »