JetBlue has taken several business decisions lately to restructure its operations in an attempt to improve its balance sheet. These include retiring old planes as well as reorganizing its network. There was also an attempt to merge with Spirit Airlines, which never saw the light of day, and a court order ending its Northeast Alliance with American Airlines, all of which impacted the carrier’s finances. But according to recent reports, the carrier is in talks with multiple airlines for a new partnership.
In talks with multiple airlines
is reportedly in conversation with multiple airlines to explore the possibility of another partnership. Last year, the airline was in the news for trying to acquire Spirit Airlines and facing massive government pushback, eventually leading to the deal falling through.
Photo: Markus Mainka | Shutterstock
And reports are now saying that JetBlue is still looking at alliance opportunities with a few airlines. The carrier’s top management is open to the idea of joining forces with another carrier based on some of their recent comments. Simple Flying has also contacted JetBlue for comments. JetBlue President Martin St. George recently commented at the Barclays 42nd Annual Industrial Select Conference in Miami, Florida:
“When I look at the benefits that we got from the partnership we had, I think that’s something that’s attractive for us. If we find a deal that’s accretive, we’ll absolutely do it.”
Overcoming regulatory challenges
JetBlue is well aware of the complexity of such deals, having been forced out of one by US courts and not allowed to proceed with another one.
The airline once had a partnership with American Airlines called the Northeast Alliance. Formed in 2020, it allowed both airlines to coordinate their schedules and share profits on routes from Boston and New York.
However, the Department of Justice (DOJ) under the Biden administration, along with several states, filed a lawsuit against the partnership, questioning the alliance’s influence on competition.
Photo: Minh K Tran | Shutterstock
This was a big blow to both JetBlue and American, and they were forced to end the alliance. Both airlines were also banned from entering into a deal for the next 10 years. While JetBlue moved on, American Airlines held on to it for a while longer and even challenged the decision. However, US Circuit Judge William Kayatta did not overturn the previous ruling and said,
“Presented with an arrangement that had many of the essential attributes of an agreement between two powerful competitors sharing revenues and divvying up highly concentrated markets, the district court conducted a monthlong proceeding, after which it made detailed findings of fact.”
Then there was the attempt to merge with Spirit Airlines, which was also met with resistance from the government. Both airlines also urged the court to reconsider its decision to block the deal, and when nothing happened, JetBlue officially
pulled the plug last year
.
It remains to be seen whether JetBlue will be able to successfully sign a new partnership with another carrier during the present administration.
Other JetBlue news
JetBlue recently made the decision to remove all flights between Boston Logan International Airport (BOS) and New York LaGuardia Airport (LGA). The airline’s spokesperson said,
“The airport fees charged to JetBlue at LGA have risen sharply – now about $50 per traveler – which make it impossible for us to offer the low fares customers expect while maintaining profitability on this route.”
Of course, JetBlue will continue to connect Boston with New York with flights to John F. Kennedy International Airport (JFK). It will also continue operating out of LaGuardia to other destinations.
The carrier also recently made news by marking its 25th anniversary with a unique paint scheme dedicated to its crewmembers. Its most recent special livery is on an Airbus A321 aircraft featuring its employees painted on the tail. The carrier said the paint scheme pays “tribute and recognition [to] the airline’s more than 23,000 dedicated crewmembers that make every flight possible.”