JetBlue announced it will end its northeastern partnership with American Airlines nearly two months after a federal ruling determined it was breaking antitrust law. The two carriers created the Northeast Alliance in 2021, allowing them to sell tickets for each other’s flights at four airports in New York and Boston. While American has said it will appeal the ruling, JetBlue wants to focus on a $3.8 billion merger with Spirit Airlines instead. The deal was also subject to a lawsuit from the U.S. Department of Justice, citing concerns that it could result in higher ticket prices and fewer options for price-conscious consumers.
By Tiffany Moustakas, Editor at LinkedIn News
JetBlue to End American Alliance to Focus on Spirit Merger Approval
JetBlue Airways will not fight to save its alliance with American Airlines in the northeastern U.S., following a judge’s ruling that the pact violated U.S. antitrust law and must be unwound. Instead, JetBlue will shift its focus to securing approval for its proposed merger with Spirit Airlines.
“Despite our deep conviction in the procompetitive benefits of the NEA, after much consideration, JetBlue has made the difficult decision not to appeal the court’s determination that the NEA cannot continue,” the New York-based airline said Wednesday. The NEA refers to the name of the partnership, the Northeast Alliance.
American, in a separate statement Wednesday, said that it maintains plans to appeal the ruling but respects JetBlue’s decision. It will work with the airline to “seamlessly” end the alliance.