Originally Posted by
AYLflyer
https://www.steptoe.com/en/news-publ...our-weeks.html
This article provides insight into the Trump administration’s dual approach to mergers and acquisitions.
On one hand, the administration is relaxing regulatory constraints to encourage deal-making across industries. On the other, it remains committed to antitrust enforcement, particularly in sectors prone to monopolistic practices.
Gail Slater, nominee for Assistant Attorney General, dodged direct questions about the JetBlue-Spirit merger but hinted that under her leadership, the DOJ would take a more flexible approach—favoring negotiated remedies over outright merger blocks. She is commited to strong antitrust enforcement but also suggested that mergers may be approved with conditions, rather than being automatically denied.
The trump administration has a very "out with the old and in with the new" approach. They have every intention to replace agressive regulators with less stringent ones. This will be good for a proposed airline merger.
Airline mergers are not off the table, but they will likely require consent decrees and concessions to move forward. Airlines will still face scrutiny, but they will find it easier to negotiate approvals under the Trump administration than the Biden.
Maybe this is exactly what Southwest and jetBlue are setting up to do right now or maybe not. I think though that jetBlue is setting itself up to be attractive to several different airlines, whether it be a partnership or merger/acquisition.
Only time will tell.