In the courtroom.
12-06-2023, 07:02 AM
#391
Gets Weekends Off
Joined APC: Dec 2009
Position: 1Durrty5
Posts: 291
The fact that serious doubt exists whether the merger will be allowed means DOJ has already achieved their primary objective with this case. The DOJ is signaling to the business world that any future consolidation will face a greater level of scrutiny and tougher regulatory opposition than before. The length of the delay jetblue has endured already is costing the airline serious money and would have been worse had the DOJ gotten their way and a trial not began until January. The message is that you can have your mergers and acquisitions as long as you're willing to endure a lawsuit, pay legal fees, delay the benefits of the merger and then roll your dice in the courtroom to see if it all pays off in the end. Increased time, cost and uncertainty are meant to make CEOs and BODs think twice before betting their cush gigs on a M&A.
This case is also a message to the American public that a new DOJ is fighting for them. Disregard the inconsistencies of this case and the argument against the NEA, that's not making it out into the mainstream coverage. All casual observers hear is that DOJ is fighting to keep, competition alive and ticket prices low. This is a perfect case to blast that message out to the public because news organizations love to discuss any topic, no matter how small, with more excitement and awe when it's related to an airline, especially Spirit. Fist fight at an Eagles game? Yawn. Fist fight at a Spirit gate? Ring the Jerry Springer bell, get Judge Mills Lane, Joe Rogan for color commentary, let's recreate it in the GMA studio. That's hyperbolic, but the media's appetite for airline related drama is acting as a megaphone to the general public for the DOJ here in a way that it wasn't for cases like Microsoft and Activision or the Google antitrust case.
Blocking the 5th largest airline from forming isn't the most important goal here. Accomplishing that still leaves 4 airlines in control of 80% of all domestic capacity, preserving a status quo this DOJ would likely admit isn't acceptable given their statements about other similarly concentrated industries. This is about fighting to fight, where winning is icing on the cake and making sure people know it going forward. By that standard, the DOJ has already won.
This case is also a message to the American public that a new DOJ is fighting for them. Disregard the inconsistencies of this case and the argument against the NEA, that's not making it out into the mainstream coverage. All casual observers hear is that DOJ is fighting to keep, competition alive and ticket prices low. This is a perfect case to blast that message out to the public because news organizations love to discuss any topic, no matter how small, with more excitement and awe when it's related to an airline, especially Spirit. Fist fight at an Eagles game? Yawn. Fist fight at a Spirit gate? Ring the Jerry Springer bell, get Judge Mills Lane, Joe Rogan for color commentary, let's recreate it in the GMA studio. That's hyperbolic, but the media's appetite for airline related drama is acting as a megaphone to the general public for the DOJ here in a way that it wasn't for cases like Microsoft and Activision or the Google antitrust case.
Blocking the 5th largest airline from forming isn't the most important goal here. Accomplishing that still leaves 4 airlines in control of 80% of all domestic capacity, preserving a status quo this DOJ would likely admit isn't acceptable given their statements about other similarly concentrated industries. This is about fighting to fight, where winning is icing on the cake and making sure people know it going forward. By that standard, the DOJ has already won.
12-06-2023, 07:29 AM
#392
Gets Weekends Off
Joined APC: Dec 2022
Posts: 869
The fact that serious doubt exists whether the merger will be allowed means DOJ has already achieved their primary objective with this case. The DOJ is signaling to the business world that any future consolidation will face a greater level of scrutiny and tougher regulatory opposition than before. The length of the delay jetblue has endured already is costing the airline serious money and would have been worse had the DOJ gotten their way and a trial not began until January. The message is that you can have your mergers and acquisitions as long as you're willing to endure a lawsuit, pay legal fees, delay the benefits of the merger and then roll your dice in the courtroom to see if it all pays off in the end. Increased time, cost and uncertainty are meant to make CEOs and BODs think twice before betting their cush gigs on a M&A.
This case is also a message to the American public that a new DOJ is fighting for them. Disregard the inconsistencies of this case and the argument against the NEA, that's not making it out into the mainstream coverage. All casual observers hear is that DOJ is fighting to keep, competition alive and ticket prices low. This is a perfect case to blast that message out to the public because news organizations love to discuss any topic, no matter how small, with more excitement and awe when it's related to an airline, especially Spirit. Fist fight at an Eagles game? Yawn. Fist fight at a Spirit gate? Ring the Jerry Springer bell, get Judge Mills Lane, Joe Rogan for color commentary, let's recreate it in the GMA studio. That's hyperbolic, but the media's appetite for airline related drama is acting as a megaphone to the general public for the DOJ here in a way that it wasn't for cases like Microsoft and Activision or the Google antitrust case.
Blocking the 5th largest airline from forming isn't the most important goal here. Accomplishing that still leaves 4 airlines in control of 80% of all domestic capacity, preserving a status quo this DOJ would likely admit isn't acceptable given their statements about other similarly concentrated industries. This is about fighting to fight, where winning is icing on the cake and making sure people know it going forward. By that standard, the DOJ has already won.
This case is also a message to the American public that a new DOJ is fighting for them. Disregard the inconsistencies of this case and the argument against the NEA, that's not making it out into the mainstream coverage. All casual observers hear is that DOJ is fighting to keep, competition alive and ticket prices low. This is a perfect case to blast that message out to the public because news organizations love to discuss any topic, no matter how small, with more excitement and awe when it's related to an airline, especially Spirit. Fist fight at an Eagles game? Yawn. Fist fight at a Spirit gate? Ring the Jerry Springer bell, get Judge Mills Lane, Joe Rogan for color commentary, let's recreate it in the GMA studio. That's hyperbolic, but the media's appetite for airline related drama is acting as a megaphone to the general public for the DOJ here in a way that it wasn't for cases like Microsoft and Activision or the Google antitrust case.
Blocking the 5th largest airline from forming isn't the most important goal here. Accomplishing that still leaves 4 airlines in control of 80% of all domestic capacity, preserving a status quo this DOJ would likely admit isn't acceptable given their statements about other similarly concentrated industries. This is about fighting to fight, where winning is icing on the cake and making sure people know it going forward. By that standard, the DOJ has already won.
12-06-2023, 09:02 AM
#393
Gets Weekends Off
Joined APC: Jan 2015
Posts: 393
People that can’t afford to fly and have never flown before often buy tickets on Spirit and other ULCC’s for the first time, not fully understanding what they just paid for. Only to be faced with hard decisions about whether to pay for their bags or discard them or not fly at all and not be refunded for their original ticket. Or maybe they showed up to the airport 30 min prior to departure because they don’t realize that it’s not like a greyhound where you can just show up and get on. They end up missing their flight with no refund. ULCC’s profit from these scenarios much more than other airlines.
Spirit voluntarily pulls out of markets that aren’t profitable all the time, why is the DOJ not concerned about the harm to price sensitive pax in those situations?
Jetblue to my knowledge does not or at least not nearly to the level that Spirit does use contract employees for gates and ramp services. Generally pays employees more. Generally treats costumers better.
Unfortunately the DOJ’s argument gets a lot of traction from occasional fliers who only understand that air travel has gotten expensive, and then see the DOJ “fighting the good fight”.
It seems that judge Young is smart and fair. He was appointed by Reagan, but I don’t see him as some chest thumping anti-woke hero. Just an even keeled guy that will try to find middle ground. I still feel very confident that it will go through with maybe some more divestitures.
Spirit voluntarily pulls out of markets that aren’t profitable all the time, why is the DOJ not concerned about the harm to price sensitive pax in those situations?
Jetblue to my knowledge does not or at least not nearly to the level that Spirit does use contract employees for gates and ramp services. Generally pays employees more. Generally treats costumers better.
Unfortunately the DOJ’s argument gets a lot of traction from occasional fliers who only understand that air travel has gotten expensive, and then see the DOJ “fighting the good fight”.
It seems that judge Young is smart and fair. He was appointed by Reagan, but I don’t see him as some chest thumping anti-woke hero. Just an even keeled guy that will try to find middle ground. I still feel very confident that it will go through with maybe some more divestitures.
12-06-2023, 10:03 AM
#395
Line Holder
Joined APC: Jun 2018
Posts: 50
2. Supreme Court
Appeals are discretionary, as in the higher courts often don't hear appeals as they don't see any legal error. Briefs would be filed with the First Circuit, and they will decide to hear the appeal or not. Wash, rinse, repeat when it comes to the Supreme Court.
Last edited by Runaround; 12-06-2023 at 10:03 AM. Reason: Spelling error
12-06-2023, 11:10 AM
#396
Gets Weekends Off
Joined APC: Sep 2017
Position: NK CA
Posts: 840
1. First Circuit Court, Boston
2. Supreme Court
Appeals are discretionary, as in the higher courts often don't hear appeals as they don't see any legal error. Briefs would be filed with the First Circuit, and they will decide to hear the appeal or not. Wash, rinse, repeat when it comes to the Supreme Court.
2. Supreme Court
Appeals are discretionary, as in the higher courts often don't hear appeals as they don't see any legal error. Briefs would be filed with the First Circuit, and they will decide to hear the appeal or not. Wash, rinse, repeat when it comes to the Supreme Court.
12-06-2023, 11:43 AM
#397
The REAL Bluedriver
Joined APC: Sep 2011
Position: Airbus Capt
Posts: 6,920
1. First Circuit Court, Boston
2. Supreme Court
Appeals are discretionary, as in the higher courts often don't hear appeals as they don't see any legal error. Briefs would be filed with the First Circuit, and they will decide to hear the appeal or not. Wash, rinse, repeat when it comes to the Supreme Court.
2. Supreme Court
Appeals are discretionary, as in the higher courts often don't hear appeals as they don't see any legal error. Briefs would be filed with the First Circuit, and they will decide to hear the appeal or not. Wash, rinse, repeat when it comes to the Supreme Court.
12-06-2023, 11:44 AM
#398
Line Holder
Joined APC: Oct 2016
Posts: 66
LOL! I haven't shorted anything since the Fed unveiled QE more than a decade ago. Not a safe thing to do when the world's central banks are willing to use digital printing presses.
By the way, it's Cathie Wood and SARK is a triple short ARKK if you feel saucy. SARK is down 89.3% YTD.
By the way, it's Cathie Wood and SARK is a triple short ARKK if you feel saucy. SARK is down 89.3% YTD.
12-06-2023, 12:15 PM
#399
Gets Weekends Off
Joined APC: Nov 2005
Posts: 196
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