US seeks to block JetBlue, Spirit Airlines merger at trial

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US seeks to block JetBlue, Spirit Airlines merger at trial

© Reuters. FILE PHOTO: JetBlue Airways aircrafts are pictured at departure gates at John F. Kennedy International Airport in New York June 15, 2013. REUTERS/Fred Prouser/File Photo/File Photo

But the Justice Department has said those divestitures are not enough, and in a lawsuit filed in March argued the combined airline would harm consumers by increasing fares and reducing choice on routes nationwide. "The transaction promises to replace Spirit with a higher-cost airline that offers fewer seats, charges higher fares, and is less likely to upset other airlines' higher prices," the department said in a court filing ahead of trial.

JetBlue in a statement said"our combination with Spirit is the best opportunity to disrupt the industry by increasing competition and choice, creating a long overdue national low-fare challenger to the dominant Big Four airlines."

 

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