American Airlines-US merger in final details; possible announcement Tuesday
A merged American Airlines, albeit with its new livery, would likely take US Airways into the Oneworld alliance with members such as Iberia and British Airways. / American Airlines
The prospective American Airlines-US Airways merger negotiations are getting down to the very final stages with haggling over which stockholders own how much, and what the shape of the surviving management team will be. The whole thing could blow up before a deal is consummated, but it looks like the formation of the U.S.’s largest airline is in its very final stages.
Excerpt from The Wall Street Journal
American Airlines parent AMR Corp. and US Airways Group Inc. are hashing out the last major details of a merger agreement that would create the world’s largest airline and are racing to finalize a deal within the next week or two, said people close to the discussions.
If the deal is reached, the new company could have a market capitalization of more than $10 billion and would vault ahead of United Continental Holdings Inc. UAL +4.37% as the biggest U.S. airline by traffic. The all-stock deal would be executed as a reorganization plan that takes American out of Chapter 11 bankruptcy protection.
From NBC 5 Dallas: The two have made tentative plans to announce a merger early next week…the announcement could come as early as Tuesday morning.