Justice Department sues to block JetBlue-Spirit merger

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Corrected: U.S. government seeks to block JetBlue-Spirit merger

The two airlines last year agreed to combine in a $3.8 billion deal with the aim of creating the fifth-largest airline in the U.S.

JetBlue JBLU, -0.24% and Spirit SAVE, +1.65% have said that combining their operations would boost competition in the domestic airline industry, not hurt it. Robin Hayes, the chief executive of JetBlue, earlier this week told the Wall Street Journal that the Biden administration’s antitrust regulators have seemed intent on stopping the merger from the beginning.

“My sense is they came to the table with their minds made up,” Hayes told the Journal. He said that JetBlue was prepared to contest the DOJ lawsuit in court.

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