DOJ okays American-USAir merger into world’s largest airline
The US Department of Justice has agreed to allow American Airlines and US Airways to merge into the world’s biggest airline, though they must scale back their operations in some big cities.
The settlement requires approval by a federal judge, but eliminates the need for a trial, which was scheduled to begin Nov. 25.
American and US Airways must give up some slots at Reagan National and LaGuardia, and cede gates in Boston, Chicago, Dallas, Los Angeles and Miami to low-cost carriers.
They also will maintain the US Airways hubs in Charlotte, Philadelphia and Phoenix, and the American hubs in Chicago O’Hare, Los Angeles, Miami and JFK, and for three years.
The companies expect to complete the merger in December.
Passengers will not see any immediate changes.
The two airlines likely will combine their frequent-flyer programs and honor each other’s elite status.
The combined company will offer flights to 336 destinations in 56 countries, making it more attractive to corporate customers.
Cheryl
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