JetBlue has agreed to transfer to Allegiant all of the holdings of Spirit Airlines at Boston Logan International Airport and Newark Liberty International Airport as part of its merger agreement with the ultra-low-cost carrier.
JetBlue will also hand over up to five gates and related ground facilities at Fort Lauderdale-Hollywood International Airport. On June 1, JetBlue announced that it would divest all of Spirit’s holdings at New York’s LaGuardia Airport to Frontier.
The divestitures, which include two gates in Boston, two gates in Newark, and 43 takeoff and landing authorisations in Newark, are part of JetBlue’s commitments included in the merger agreement with Spirit and are contingent on the closing of the JetBlue-Spirit transaction.
They are subject to approval by the local airport authorities as well as FAA and DOT, and will take place after the merger, which is earmarked for the first half of 2024.
Robin Hayes, chief executive officer at JetBlue, said: “Merging 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 divestiture commitment, while not needed to ensure the continued growth of the vibrant ultra-low-cost carrier segment, is aimed at removing any doubt of our commitment to promoting competition.”
Drew Wells, chief revenue officer at Allegiant, added: “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.”