US Airways, American Airlines on verge of mega-merger
Multiple news sources are reporting that US Airways and American Airlines are in closed door talks that will most likely result in a merger in January.
The two airlines have been circling each other for the past year with multiple public announcements being made from either side about interest in locking up a deal that would result in a mega airline worth about $8 billion dollars.
The Wall Street Journal reports that US Airways CEO, Doug Parker would most likely emerge at the helm of the new merged airline, while the Los Angeles Times points to multiple experts predicting higher fares, system-wide tech glitches and resulting delays and cancellations like the ones that plagued United and Continental’s merger this year.
On the plus side, pilots from the Allied Pilots Association (American Airlines pilots union) said the merger would help the airlines fly more efficiently and offer more destinations, although spokesperson Tom Hoban told the LA Times that there would likely be "operational challenges."
Gretchen Kelly
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