US Seeks to Block JetBlue, Spirit Merger at Trial

The Biden administration’s fight against consolidation in the airline industry will be tested Tuesday with lawyers for JetBlue Airways and the Justice Department squaring off in court.

JetBlue isn't exactly the sort of behemoth that comes to mind when imagining a defendant in an antitrust case. It is the sixth-largest U.S. airline by revenue, and it is trying to buy the seventh-biggest. If it swallows Spirit, JetBlue will leapfrog Alaska Airlines but still control less than 10% of the U.S. air-travel market. It would remain far smaller than American, United, Delta or Southwest.

The Justice Department argues, however, that Spirit is the disruptive force that needs to be protected. Spirit, which is based in Miramar, Florida, is known as an “ultra-low-cost carrier,” the name given to airlines that tout rock-bottom fares but make up for it by charging high fees for things like checking a bag or carrying one on board. Spirit even charges for soft drinks. Personal-finance site Nerdwallet said passengers should expect to pay $137 in fees on a typical one-way flight, compared with $35 or less at the bigger airlines – including JetBlue.

Nigeria Nigeria Latest News, Nigeria Nigeria Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

US seeks to block JetBlue, Spirit Airlines merger at trialUS seeks to block JetBlue, Spirit Airlines merger at trial
Source: Investingcom - 🏆 450. / 53 Read more »

US seeks to block JetBlue, Spirit Airlines merger at trialThe U.S. Department of Justice heads to trial on Tuesday to urge a federal judge to block JetBlue Airways' (JBLU.O) planned $3.8 billion acquisition of ultra-low-cost carrier Spirit Airlines.
Source: Reuters - 🏆 2. / 97 Read more »

Antitrust trial to determine fate of JetBlue-Spirit merger set to beginThe Justice Department is squaring off against JetBlue, which is seeking to buy Spirit Airlines in a deal worth $6.8 billion.
Source: washingtonpost - 🏆 95. / 72 Read more »

Biden administration takes JetBlue to court in Boston over proposed Spirit acquisitionThe Biden administration and JetBlue Airways are facing off in court over the Biden administration's effort to stop JetBlue from buying Spirit Airlines. The trial over the government's antitrust lawsuit is scheduled to begin Tuesday in Boston.
Source: WBUR - 🏆 274. / 63 Read more »