The Justice Department filed a lawsuit seeking to block
JetBlue
JBLU -0.42%
JetBlue
JBLU -0.42%
Airways Corp. from merging with
Spirit Airlines Inc.,
arguing the deal would stifle competition and lead to higher fares.
The DOJ filed its lawsuit Tuesday in Massachusetts federal court. The states of New York and Massachusetts and the government of the District of Columbia are also plaintiffs on the civil case, which says the merger would eliminate Spirit as a low-cost competitor to the major carriers.
“JetBlue’s plan would eliminate the unique competition that Spirit provides—and about half of all ultra-low-cost airline seats in the industry—and leave tens of millions of travelers to face higher fares and fewer options,” the complaint said.
JetBlue didn’t immediately respond to a request for comment Tuesday. The airline has said its merger with Spirit would increase competition among airlines and benefit air travelers by reducing overall fares in markets where the deal would allow it to expand.
Write to Dave Michaels at dave.michaels@wsj.com and Andrew Tangel at andrew.tangel@wsj.com
Copyright ©2022 Dow Jones & Company, Inc. All Rights Reserved. 87990cbe856818d5eddac44c7b1cdeb8
The Justice Department filed a lawsuit seeking to block
JetBlue
JBLU -0.42%
JetBlue
JBLU -0.42%
Airways Corp. from merging with
Spirit Airlines Inc.,
arguing the deal would stifle competition and lead to higher fares.
The DOJ filed its lawsuit Tuesday in Massachusetts federal court. The states of New York and Massachusetts and the government of the District of Columbia are also plaintiffs on the civil case, which says the merger would eliminate Spirit as a low-cost competitor to the major carriers.
“JetBlue’s plan would eliminate the unique competition that Spirit provides—and about half of all ultra-low-cost airline seats in the industry—and leave tens of millions of travelers to face higher fares and fewer options,” the complaint said.
JetBlue didn’t immediately respond to a request for comment Tuesday. The airline has said its merger with Spirit would increase competition among airlines and benefit air travelers by reducing overall fares in markets where the deal would allow it to expand.
Write to Dave Michaels at dave.michaels@wsj.com and Andrew Tangel at andrew.tangel@wsj.com
Copyright ©2022 Dow Jones & Company, Inc. All Rights Reserved. 87990cbe856818d5eddac44c7b1cdeb8