JetBlue says it will end alliance with American to save Spirit merger deal | CNN Business

The New York-based carrier said while it “strongly” disagrees, it would not appeal the court’s ruling. JetBlue said it had informed American last week of its decision to terminate the three-year-old alliance, which allowed the two carriers to coordinate flights and pool revenue. American said on Wednesday it still planned to appeal the ruling. American is the largest US airline by fleet size and JetBlue is the sixth largest.

The “Northeast Alliance” with JetBlue helped American compete in the New York market, where it had been losing money. It allowed American to move away from unprofitable routes while maintaining a presence in New York and letting it feed traffic to its global partners who fly into the region. American has yet to spell out plans for the capacity it gave to JetBlue. The carrier could now be forced to rebuild its capacity or cut international flights out of the region.

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