NEW YORK (AP) – JetBlue Airways and Spirit Airlines announced Friday they will appeal a federal judge's ruling this week that blocked their plans to merge into a single airline.
The airline announced that it has filed a notice of appeal with the U.S. Court of Appeals for the First Circuit pursuant to the terms of the agreement.
The Justice Department, which filed a lawsuit seeking to block JetBlue's proposed $3.8 billion acquisition of Spirit, declined to comment.
JetBlue and Spirit are the nation's sixth and seventh largest airlines. JetBlue, which has outbid Frontier Airlines, said it needs to buy Spirit to compete more effectively with larger airlines.
But on Tuesday, a federal judge in Boston ruled that the deal violated antitrust laws. The U.S. Department of Justice had filed a lawsuit seeking to block the agreement, arguing that consumers would be harmed and forced to pay higher fares if Spirit, the nation's largest low-cost airline, was removed.
The airline announced the appeal in a statement but gave no other details.
Spirit said early Friday that a strong holiday travel season in December boosted fourth-quarter sales. The Miramar, Florida-based airline also said it was trying to refinance $1.1 billion in debt due in September 2025.
Spirit Airlines also said negotiations with Pratt & Whitney over engines that needed rework (resulting in an average of 26 aircraft being grounded per day through 2024) had “made significant progress since October.” Stated. Airlines “will be an important source of liquidity for years to come.”
Spirit has been in the red since early 2020, and some analysts said it could face bankruptcy if it doesn't merge with JetBlue.
The airline announced its intention to appeal U.S. District Judge William Young's ruling after the stock market closed on Friday.
Spirit's stock price fell 62% in the three days after the ruling, but rose 17% in regular trading on Friday and rose another 13% in after-hours trading. JetBlue stock fell 2% in extended trading.
