Fate of American Airlines’ and JetBlue’s NEA uncertain as trial gets under way

Premium Analysis

The trial to determine whether the partnership between American Airlines and JetBlue Airways is anti-competitive or not is now under way, and few are venturing to predict the outcome. 

Under the Administration of US President Joseph Biden, the Department of Justice (DOJ) has been aggressive in its pursuit – to block what it deems as anti-competitive behaviour in many industries. 

The challenge to the Northeastern Alliance (NEA) occurs as the DOJ weighs the merits of JetBlue’s proposed acquisition of, and merger with, Spirit Airlines.

Obviously, if the DOJ prevails in dismantling the NEA it could be detrimental for both partners.

But the stakes are even higher for JetBlue, as it risks losing a key partner and the rejection of its merger with Spirit.

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