- Attorneys for the US Department of Justice have argued for weeks that an alliance exists between them American Airlines Group, Inc EEL and JetBlue Airways Corp BLUE would cost consumers $700 million.
- The government claimed that a partnership between American and JetBlue, known as the Northeast Alliance, would give them outsize control over airport gates and airfields in the region.
- A government economist, Nathan Miller, said the government’s consumer harm estimate only includes traffic at John F. Kennedy International Airport and LaGuardia Airport, but overlooks Newark Liberty International Airport, one of the region’s busiest hubs. Bloomberg reports.
- U.S. District Judge Leo Sorokin sought metrics illustrating changes within the fleets and routes of the two airlines serving New York City and Boston before and since their Northeast Alliance went into effect in early 2021.
- He also asked for a list of the main provisions of the agreement.
- Senior executives from competitor airlines testified that the alliance made it difficult for them to compete in Boston and New York.
- The Justice Department sued American and JetBlue in 2021, calling the alliance a “merger” that increased rates with discounted fares choice for passengers.
- Price promotion: AAL shares traded up 0.92% to $13.17 on the last check Friday premarket.
Read full story here https://www.benzinga.com/government/22/10/29266594/american-jetblue-alliance-antitrust-case-gains-steam-as-court-seeks-more-documents
