JetBlue Agrees to Transfer Boarding Gates and Slots from Spirit for Merger Approval
MADRID, 11 Sep. (EUROPA PRESS) – JetBlue has agreed to transfer boarding gates and slots from Spirit at three US airports to facilitate the approval of its merger with the ‘low-cost’ company by government authorities.
Under the agreement, JetBlue will transfer all of Spirit’s interests in Boston Logan and Newark Liberty international airports to Allegiant. Additionally, it will transfer up to five gates and related ground facilities at Fort Lauderdale-Hollywood International Airport. However, these divestitures are subject to approval by local airport authorities as well as the FAA/DOT. The transfers are conditional and will take place upon the closing of JetBlue’s planned merger with Spirit, which is expected to be finalized in the first semester of 2024.
This move comes after JetBlue previously announced in June that it would transfer all of Spirit’s interests in New York’s LaGuardia airport to Frontier.
The US Department of Justice has attempted to break up the JetBlue-Spirit deal, claiming that the merger would grant the combined company excessive market power in certain areas and potentially result in higher rates for consumers, as reported by Bloomberg.
However, JetBlue CEO Robin Hayes defended the merger, stating that the combination with Spirit would enable them to bring their renowned service and low fares to more people and places across the country and beyond. Hayes further emphasized the commitment to divest, noting that it is intended to eliminate any doubts regarding their dedication to promoting competition.
The approval of the merger and the subsequent transfers of boarding gates and slots are crucial steps for JetBlue and Spirit in their pursuit of becoming a formidable force in the low-cost airline segment.