11:44 AM EST, 01/03/2025 (MT Newswires) -- The US Department of Transportation said Friday that it fined JetBlue Airways ( JBLU ) $2 million for operating four "chronically delayed flights," a prohibited scheduling practice.

The DOT considers a flight chronically delayed if it is flown at least 10 times a month and arrives more than 30 minutes late more than half of the time. Cancellations are included as delays within the calculation, according to the DOT.

JetBlue ( JBLU ) operated four chronically delayed flights at least 145 times between June 2022 and November 2023, with each flight delayed for at least five consecutive months, the department said. The carrier was responsible for more than 70% of the disruptions for the four flights and failed to fix its schedules for the affected flights, the DOT said.

The company is required to pay $1 million of the penalty in cash directly to the US Treasury. The remaining amount will go toward compensating passengers affected by either the four flights or any future cancellations or delays of at least three hours within the next year. The future compensation must be valued at a minimum of $75 for each impacted passenger, the DOT said.

JetBlue ( JBLU ) shares were down 1.7% in Friday trade.

"While we've reached a settlement to resolve this matter regarding four flights in 2022 and 2023, we believe accountability for reliable air travel equally lies with the US government, which operates our nation's air traffic control system," JetBlue ( JBLU ) said in a statement e-mailed to MT Newswires. "We urge the incoming (Trump) administration to prioritize modernizing outdated (air traffic control) technology and addressing chronic air traffic controller staffing shortages to reduce ATC delays that affect millions of air travelers each year."

The DOT said that this is the first time it has fined an airline for chronic flight delays and that it is investigating other carriers for "unrealistic flight schedules."

"Today's action puts the airline industry on notice that we expect their flight schedules to reflect reality," US Transportation Secretary Pete Buttigieg said in a statement. "The department will enforce the law against airlines with chronic delays or unrealistic scheduling practices in order to protect healthy competition and ensure passengers are treated fairly."

Last month, JetBlue ( JBLU ) upgraded its sales forecast for the fourth quarter amid stronger-than-expected demand.

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