JetBlue ditches partnership with American Airlines to save Spirit purchase
JetBlue says it will not appeal a judge’s ruling against its partnership with American Airlines, effectively dropping the deal in an effort to save its purchase of Spirit Airlines.
JetBlue Airways said Wednesday it is ending its deal with American in New York and Boston in the coming months and “turning even more focus” to its proposed $3.8 billion purchase of Spirit.
The US Justice Department sued to block the Spirit sale, saying it would harm competition by eliminating Spirit, the nation’s largest low-cost airline. JetBlue hopes that ditching the deal with American can persuade the government to let the Spirit purchase go ahead.
A federal judge ruled in May that JetBlue and American must end their partnership because it violates US antitrust laws. American has said it will appeal the ruling.
Last month, JetBlue and American asked U.S. District Judge Leo Sorokin to let them continue to sell tickets on each other̵[ads1]7;s flights, an arrangement called codesharing, and offer mutual bonus benefits. It now appears that these features will also disappear.
