Mar. 26, 2015, 3:14 AM
- Marking a new milestone since their December 2013 merger, American Airlines (NASDAQ:AAL) and U.S. Airways expect to receive a single operating certificate from U.S. regulators on April 8.
- Although the carriers still have to combine their reservation systems, a single certificate will mean the FAA recognizes the airlines as one, and that the majority of their flight, maintenance and dispatch procedures will be identical.
- AAL +0.4% AH
Dec. 8, 2013, 5:25 AM
- The merger of American Airlines (AAMRQ) and US Airways (LCC) is all set to take off tomorrow after Supreme Court Justice Ruth Bader Ginsburg denied a last-minute effort by consumer groups and travel agents to prevent the deal from taking place.
- The plaintiffs fear that the deal will force prices up, hurt services and make planes more crowded.
Nov. 27, 2013, 10:31 AM
- A U.S. bankruptcy court has signed off on a settlement between the DOJ and AMR (AAMRQ +2.3%) related to the latter's planned merger with US Airways (LCC).
- The settlement requires AMR and US Airways to divest a number of slot pairs gates at various U.S. airports. The biggest divestitures will take place Washington D.C.'s Reagan National and NYC's LaGuardia.
- The deal still needs the approval of a federal district judge.
Nov. 27, 2013, 3:23 AM
- AMR (AAMRQ) and US Airways (LCC) are due to find out today whether Bankruptcy Judge Sean Lane approves of their settlement with the Justice Department over their proposed merger.
- The DOJ had opposed the transaction until the airlines agreed to make concessions.
- The deal also needs the authorization of a federal district judge, who is accepting public comments until February 7.
Nov. 4, 2013, 3:15 AM
- The Department of Justice reportedly wants US Airways (LCC) and AMR (AAMRQ) to sell assets at key airports across the U.S. in order for it to approve the carriers' merger.
- In a complaint in August, the DOJ listed over 1,000 city pairings where the airlines dominate and where their tie-up could hurt competition.
- Reports last week had focused on an offer from the airlines to divest rights at Washington's Ronald Reagan National Airport, where they hold a combined 69% of takeoff and landing slots. However, the companies have also offered to sell rights at airports other than Reagan.
- If the sides can't agree to a deal, they are due to go trial on November 25.
Oct. 31, 2013, 6:54 AM
- American Airlines (OTC:AAMRQ) and US Airways (LCC) are reportedly in discussions with the Justice Department's antitrust division about settling the government's lawsuit that is seeking to prevent the carriers' merger from taking place.
- The airlines are offering to sell takeoff and landing slots at Washington's Reagan National Airport - where the combined company would dominate - as part of any deal.
- The sides said earlier this week that they would submit the DOJ's lawsuit to mediation.
Oct. 30, 2013, 3:50 AM
- American Airlines (AAMRQ) CEO Tom Horton believes "there's a way" for his company and US Airways (LCC) to reach a settlement with antitrust regulators that will clear the way for the carriers to merge.
- Horton cited an agreement earlier this month with the state of Texas, which had joined the suit opposing the deal, for his optimism.
- Earlier this week, the sides disclosed that they have agreed to a mediator.
Aug. 30, 2013, 5:10 PM
- A federal judge sets a Nov. 25 trial date for the Justice Department's antitrust challenge to US Airways' (LCC) proposed merger with American Airlines (AAMRQ.PK).
- The airlines had pressed for an early trial, citing "steep costs and burdens" associated with the uncertainty over their future, while the government wanted a March start.
- Today's hearing gave some hints about how the sides are preparing for the trial: US Airways and American likely will argue the merger would allow them to shore up weaknesses in their networks that make them less attractive to business travelers.
Aug. 22, 2013, 7:52 PM
- Officials in Florida, Texas and North Carolina - which are home to large hubs for American (AAMRQ.PK) and US Airways (LCC) - are pushing back against the U.S. government's attempt to block the proposed merger of the two airlines, requesting that they drop the suit because the combined company would significantly benefit their local economies.
- Last week, the U.S. Justice Department filed a lawsuit challenging the merger, saying it would reduce competition among air carriers and ultimately lead to higher fares for passengers.
- For its part, AMR and U.S. Airways have filed a motion to set trial for November 12, 2013.
Aug. 16, 2013, 2:05 AM
- Judge Sean Lane has refrained from approving AMR's (AAMRQ.PK) plan to exit bankruptcy via an $11B merger with US Airways (LCC), citing the lawsuit from the Department of Justice and some states to block the deal.
- Instead, Lane has given AMR and its creditors until Friday next week to provide him with guidance about he should proceed.
- The judge had otherwise been expected to authorize the deal, having already given preliminary approval.
Aug. 15, 2013, 3:28 AM
- AMR's (AAMRQ.PK) program to exit bankruptcy protection by merging with US Airways (LCC) is due for a court hearing today just two days after the Department of Justice and some states sued to prevent the deal.
- The hearing was supposed to be the final episode in AMR's bankruptcy, with Judge Sean Lane expected to decide whether or not to approve the tie-up, but that's not the case now. Lane could still decide to authorize it - he's already given preliminary approval - pending a settlement with the DOJ, or postpone the proceedings.
- AMR and US intend to fight the government's lawsuit and they hope for a trial by the end of the year, although they did leave open the possibility of a settlement when outlining the arguments they'll use.
- If the DOJ & co. prevail, AMR would face months of new restructuring talks from which shareholders could be the hardest hit.
Aug. 4, 2013, 3:30 AM
- The Department of Justice has again objected to the $20M severance package for outgoing AMR (AAMRQ.PK) CEO Tom Horton as part of the airline's exit from bankruptcy. The DOJ's Office of the U.S. Trustee has asked a court to block the payment.
- A hearing to to confirm the exit plan, the basis of which is AMR's merger with U.S. Airways (LCC), is scheduled for August 15, when a judge will also consider objections.
- Last week, AMR's creditors overwhelmingly approved the plan.
Aug. 2, 2013, 4:14 AM
- AMR's (AAMRQ.PK) creditors have overwhelmingly approved the airline's plan to merge with US Airways (LCC) and exit bankruptcy.
- The deal now needs court authorization, as well as the backing of the U.S. Justice Department, which is analyzing the antitrust implications, and that of the EU.
- Under the merger, AMR's creditors, staff and shareholders will receive 72% of the combined company, while US's investors will get 28%.
Jul. 2, 2013, 2:57 AMThe Texas Attorney General is reportedly leading a group of 19 AGs in joining the Justice Department's investigation of the $11B merger between US Airways (LCC) and AMR (AAMRQ.PK). The states, which include California and New York, are concerned either that they'll lose a hub or that there will be service cutbacks to smaller cities. The DOJ is concerned about the combined airline's dominance at Reagan National Airport outside Washington D.C. | Jul. 2, 2013, 2:57 AM | 2 Comments
Jun. 28, 2013, 3:46 AMThe Department of Justice is reportedly investigating US Airways' (LCC) acquisition of American Airlines (AAMRQ.PK) and has started taking depositions. The main issue is whether the airlines should sell take off and landing rights at Reagan National Airport near Washington. The combined carrier would would have 68% of the slots, well above its rivals. | Jun. 28, 2013, 3:46 AM | 3 Comments
Jun. 11, 2013, 4:21 AM
The EU is reportedly expected to give unconditional approval to Delta Airlines' (DAL) $360M acquisition of a 49% stake in Virgin Atlantic. The deal would allow the carriers to offer more transatlantic flights from Heathrow Airport and thereby better compete with the dominant partnership made up of British Airways and American Airlines.| Jun. 11, 2013, 4:21 AM