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American / US Airways merger finally approved

Published: 28/11/2013 - Filed under: News »

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The merger between American Airlines and US Airways has finally been formally approved by a US federal bankruptcy judge.

The move now clears the way for the creation of an enlarged American Airlines, which is set to complete by December 9.

It follows a deal with the US Department of Justice and six states plus the District of Columbia in which AA and US Airways agreed to relinquish slots and gates to low-cost airlines at seven airports (see news, November 13).

The two carriers will give up 52 slot pairs at Reagan airport in Washington DC and 17 pairs at New York’s LaGuardia. They will also hand over two gates at each of Dallas Love Field, Los Angeles

International, Boston Logan, Chicago O'Hare International and Miami International airports.

The DOJ, six states and District of Columbia had filed a lawsuit in August claiming that the merger would restrict competition (see news, August 13).

As part of the settlement, the newly merged American Airlines also agreed to maintain hubs at Charlotte, New York JFK, Los Angeles, Miami, Chicago O'Hare, Philadelphia and Phoenix "consistent with historical operations" for three years.

The shares of US Airways are due to be delisted on December 6 with American's parent company AMR Corporation renamed as American Airlines Group on December 9.

newamericanarriving.com

Graham Smith

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COMMENTS » 

JohnRWatts1 - 29/11/2013 15:06

This is going to be huge and messy....

Thocha7 - 06/12/2013 03:09

How much benefit for the passengers @ the end of the day thro' this merger?

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