Posted 3/4/2024, 4:26:39 PM
JetBlue-Spirit Airlines Merger Terminated Amid Antitrust Concerns, Dealing Blow to Airlines
- JetBlue and Spirit Airlines terminate $3.8 billion merger deal after facing antitrust hurdles and opposition from the Biden administration and courts
- Deal would have created 5th largest US airline, but was blocked due to anti-competition concerns around increased prices and reduced choices for consumers
- Ruling is a victory for the Justice Department's efforts to bring down prices and protect consumers from corporate mergers
- Without the merger, Spirit Airlines faces financial uncertainty and challenges to regain profitability
- JetBlue is implementing revenue growth and cost cutting measures after also facing setbacks on a partnership deal with American Airlines