Alaska Air announced a deal Monday to acquire Virgin America, the ninth-largest U.S. airline by passenger traffic, for $2.6 billion, having outbid JetBlue Airways.
The acquisition heralds the first U.S. commercial airline merger since US Airways and American Airlines combined in 2013 to form the world's largest carrier. It boosts the size of Alaska Air's home market by allowing it to expand into lucrative hubs such as San Francisco and Los Angeles.
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