Alaska Airlines settles consumer class action

Alaska Airlines has agreed to settle a federal class-action claim brought by consumers opposing its acquisition of Virgin America.

Terms of the settlement are confidential, Alaska said.

The announcement came one day after the Department of Justice (DOJ) gave antitrust approval to the proposed $4 billion acquisition.

The complaint, filed in San Francisco, alleged that the merger would harm consumers by reducing the number of airlines serving Hawaii and both U.S. coasts; reducing capacity overall, leading to higher ticket prices and ancillary fees; and depriving passengers of the lower fares and “unique flying experience” offered by Virgin America.

As part of the DOJ approval, regulators required Alaska Air to relinquish some codeshare routes with American Airlines.

“We look forward to closing the transaction in the very near future,” Alaska said.

Sourse: travelweekly.com