Earlier today, JetBlue released an announcement on the USA District Courts’ ruling that may require the airline to sever its ties with American Airlines within the Northeast Alliance. Despite strongly disagreeing with the court’s decision, JetBlue is not going to appeal the ruling and can give attention to the acquisition of Spirit Airlines as a substitute.
Moving on to more necessary things
The Northeast Alliance is a partnership within the northeast United States between American Airlines and JetBlue. The alliance was founded in February and a number of months later, the USA Department of Justice (DOJ) sued, claiming the alliance didn’t promote competition within the American airline industry. In May, Judge Leo Sorokin ruled against the airlines, stating the alliance eliminated competition.
Photo: Lukas Souza | Easy Flying
Today, JetBlue announced that even though it strongly disagreed with the judge’s ruling, it might not fight against it but would give attention to its pending acquisition of Spirit Airlines. The Latest York-based airline highlighted the advantages of the alliance, saying,
“As a direct results of the NEA, customers benefited from more of JetBlue’s low-fare, high-quality service than ever. We’ve increased capability, added recent routes and destinations, brought down fares, provided JetBlue-American flight connections which might be an actual alternative to Delta and United, and expanded the worth of our loyalty program advantages to customers.”
JetBlue further added it might begin the strategy of terminating the alliance, which can happen over the approaching months. The airline added that the DOJ’s concerns about its partnership with a legacy carrier were pointless, and the DOJ should reconsider its position on the pending acquisition. A trial date for the acquisition has been set for October 16. America ‘Big 4’ (American Airlines, Delta Air Lines, Southwest Airlines, and United Airlines) would not have enough competition, which JetBlue believes will come from the acquisition of Spirit.
Going forward, passengers would not have to fret about anything immediately. Passengers can proceed earning and redeeming points and receive reciprocal loyalty advantages. JetBlue will work through the legal process to create a wind-down plan that doesn’t have a major impact on customers.
“With strong momentum, a transparent organic plan, and the procompetitive Spirit combination on the horizon, we’re able to be a force for good within the industry on a more national scale and look ahead to advancing our planned combination with Spirit.”
American Airlines’ response
American Airlines doesn’t plan to take the identical approach as its partner. Earlier today, the Fort Value-based airline issued an announcement saying that while it respected JetBlue’s decision, it might move forward with an appeal.
“At the identical time, JetBlue’s decision and reasoning confirm our belief that the NEA has been highly pro-competitive and that an erroneous judicial decision disregarding the NEA’s consumer advantages has led to an anticompetitive consequence. American will due to this fact move forward with an appeal. “
American added it might work with JetBlue to attenuate the disruptions to their passengers’ travel plans.
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