Alaska Air Group and Virgin America extend regulatory review of merger
The parties will not consummate the acquisition prior to October 17, unless the DOJ provides written concurrence to close within a shorter period. The parties previously agreed to not close the merger before September 30. The extension gives the DOJ additional time to review the proposed merger.
The two airlines are confident they will address any concerns and obtain regulatory approval to complete their pro-competition, pro-consumer transaction.
Given the airlines’ largely complementary networks, the relative size of this merger compared to past airline combinations, and both Virgin America and Alaska’s emphasis on customer service, the airlines are also confident the DOJ will agree this merger will provide consumers more choices and lower fares.
That would also allow for more robust competition against the Big Four airlines, which control 84 percent of the domestic market. ■