As part of their combination with Spirit Airlines, JetBlue has today entered into an agreement with Allegiant, under which they will transfer all Spirit Airlines’ holdings in Boston and Newark to Allegiant.
On Monday (September 11, 2023), JetBlue announced that they have entered into a definitive agreement with Allegiant Travel Company under which JetBlue will transfer to Allegiant all Spirit Airlines’ holdings at Boston Logan International Airport (BOS) and Newark Liberty International Airport (EWR). The divestiture consists of two gates in both Boston and Newark, along with 43 takeoff and landing authorizations in Newark. Additionally, JetBlue has agreed to relinquish up to five gates and related ground facilities at Fort Lauderdale/Hollywood International Airport (FLL) to promote ULCC growth. On June 1st, 2023, JetBlue announced the divestiture of Spirit’s holdings at New York LaGuardia Airport (LGA) to Frontier Airlines. All of these upfront voluntary commitments are conditioned on the closing of the JetBlue-Spirit merger transaction.
In Monday’s announcement, JetBlue’s Chief Executive Officer, Robin Hayes, said,
“Over the past twenty years, JetBlue has established itself as a competition MVP, bringing high-quality, affordable service to a wide variety of travelers across the United States. 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.”
Also commenting on the divestiture agreement, Allegiant Travel Company’s Chief Revenue Officer, Drew Wells, said,
“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.”
Founded in 1999, Las Vegas-based Allegiant is an integrated travel company with an airline at its heart, and a focus on linking passengers from small to medium cities to world-class leisure destinations with all non-stop flights and industry-low average fares. The company offers base airfares that are often half the price of a typical roundtrip ticket and currently operates an all-Airbus A320 Family fleet. Allegiant has also placed an order for up to 100 Boeing 737-7 and 737-8-200 MAX jets.
JetBlue is ‘New York’s Hometown Airline®’ and a leading carrier in Boston (BOS), Fort Lauderdale (FLL), Los Angeles (LAX), Orlando (MCO) and San Juan (SJU). The airline carries guests to over 100 destinations across the U.S., Caribbean, Latin America, the United Kingdom (London Heathrow and Gatwick), Paris, and Amsterdam. JetBlue Airways Corporation trades on the NASDAQ under the ticker symbol JBLU.
Source(s): JetBlue/Businesswire, Allegiant Travel Company