JetBlue Airways signed a definitive agreement for which it will transfer all Spirit Airlines slots at Boston Logan International Airport and Newark Liberty International Airport to Allegiant.
JetBlue will also transfer up to five gates and ground facilities at Fort Lauderdale-Hollywood International Airport to encourage the development of ultra low-cost carriers.
On June 1, JetBlue announced that it will transfer all of Spirit Airlines’ holdings at New York-LaGuardia Airport to Frontier Airlines. In summary, these divestitures are part of the initial voluntary commitments in the merger agreement of the two airlines and are contingent upon the completion of the JetBlue-Spirit transaction.
«The merger with Spirit will allow us to bring our signature service and low fares to even more people and places across the country and beyond. Our commitment to divestiture, while not necessary to ensure continued growth in the vibrant ultra-low-cost airline segment, is intended to remove any doubt about our commitment to foster competition,» said Robin Hayes, JetBlue’s chief executive officer.
The divestitures are subject to U.S. Department of Transportation (DOT) and Federal Aviation Administration (FAA) approvals and are contingent upon the closing of the planned merger of JetBlue and Spirit. The transaction is expected to close in the first half of 2024.
Under the terms of the agreement, JetBlue has determined to transfer to Allegiant all of Spirit’s holdings in Boston and Newark, which primarily includes two gateways in Boston and Newark, as well as 43 slots in Newark.
Also, JetBlue agreed to work closely with the Broward County Department of Aviation to strengthen the ultra low-cost market in Fort Lauderdale by providing five gates to Allegiant.
«We are committed to long-term growth, especially in areas such as New York, Boston and Florida. This agreement will allow us to expand our service in these cities and ensure that customers have even more access to affordable, nonstop flights for their travel needs,» said Drew Wells, chief revenue officer for Allegiant.
See also: Spirit Airlines Resumes Seven Services and Launches Four New Routes from Tampa
