The U.S. Department of Transportation has approved a joint interim exemption for Allegiant and Sun Country airline subsidiaries, allowing both to continue operating as separate carriers under common ownership following the transaction’s closing. This approval safeguards each carrier’s business model, route network, and customer experience pending further integration.

This exemption satisfies the last regulatory approval-related condition required for Allegiant’s proposed acquisition of Sun Country, removing a key obstacle to completing the transaction and enabling the companies to move forward with closing preparations.

Allegiant and Sun Country have scheduled special meetings of shareholders on May 8, 2026 to vote on the merger, with closing expected as early as May 13 upon approval or waiver of the remaining customary closing conditions.

Following closing, both airlines will preserve independent operations while advancing toward a unified operating certificate, a structure intended to maintain operational continuity and capture synergies over the long term.