- The U.S. Justice Department's lawsuit on Tuesday comes at a time when U.S. carriers are struggling to boost capacity because of shortages of pilots and aircraft.
- Mergers and acquisitions are a time-honored way for companies to both boost revenue and profit through cost cutting.
- The U.S. Justice Department argues the planned JetBlue-Spirit merger will result in 'higher fares and fewer seats, harming millions of consumers on hundreds of routes.'.
- The DOJ lawsuit could send a chill through airline boardrooms, but the cost pressures are so onerous, airlines will have no choice but to keep kicking the tires on deals.
- American Airlines, United Airlines, Delta Air Lines and Southwest Airlines control 80% of the domestic market.
Reuters — Business — Mergers & Acquisitions — Fuel & Labor Bills — Codeshare Agreements — Consolidation
Analysis: US lawsuit to block JetBlue-Spirit merger casts chill over future airline deals
The US Justice Department is suing JetBlue and Spirit Airlines over their attempted merger, raising hurdles for future airline deals and sending a chill through airline boardrooms.