A federal decide on Tuesday blocked JetBlue Airways’ proposed $3.8 billion acquisition of Spirit Airways, a victory for the Division of Justice, which argued that the deal would hurt vacationers.
In his ruling, Decide William G. Younger of the U.S. District Court docket for the District of Massachusetts sided with the Justice Division in figuring out that the merger would scale back competitors within the airline enterprise.
The proposed merger would have created the nation’s fifth largest airline. The Justice Division had argued that smaller, low-cost airways like Spirit assist maintain fares low and that permitting the corporate to be acquired by JetBlue, which tends to charger increased costs, would have damage customers.
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