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Joe Mazur, Assistant Professor of Economics, Purdue University

JetBlue merger with Spirit not cleared for takeoff – why Justice Department is suing to scupper deal

JetBlue Spirit Justice Department United States Mergers Department of Justice Spirit Airlines the Justice Department US Airways American Airlines
Stuck on the runway? AP Photo/Wilfredo Lee

The U.S. Department of Justice has intervened to block a proposed deal that would see carrier JetBlue buy budget service Spirit Airlines.

In a lawsuit filed on March 7, 2023, the department warned that allowing the US$3.8 billion deal to go through would “eliminate the unique competition” that Spirit, the lower cost airline, currently provides.

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