Judge blocks JetBlue from taking over Spirit Airlines

A federal judge on Tuesday blocked JetBlue Airways' proposed $3.8 billion acquisition of Spirit Airlines, a victory for the Justice Department, which argued the deal would hurt travelers.

In his ruling, Judge William G. Young of the US District Court for the District of Massachusetts sided with the Justice Department in determining that the merger would reduce competition in the airline industry.

The proposed merger would have created the country's fifth largest airline. The Justice Department had argued that smaller, low-cost airlines like Spirit help keep fares low and that it would have hurt consumers if the company were acquired by JetBlue, which tends to charge higher prices.

This is a development story. Check back for updates.