American Airlines and US Airways Reach Settlement

The airlines settle the lawsuit from the Department of Justice and move forward with the merger By: Megan Brickwood
American Airlines and US Airways reach a settlement and move forward with the merger. // © 2013 American Airlines
American Airlines and US Airways reach a settlement and move forward with the merger. // © 2013 American Airlines

American Airlines and US Airways have reached a settlement agreement with the Department of Justice and the State Attorneys General, as well as an additional agreement with the Department of Transportation. The agreements will allow the merger of American Airlines and US Airways. The merger is expected to be completed in December, at which point, according to the settlement terms, the airlines will divest 52 slot pairs at Washington Reagan National Airport (DCA) and 17 slot pairs at New York LaGuardia Airport (LGA), as well as certain gates and related facilities to support service at those airports. The airlines also will divest two gates and related support facilities at Boston Logan International Airport, Chicago O’Hare International Airport, Dallas Love Field, Los Angeles International Airport and Miami International Airport. Despite these divestitures, the new airline is still expected to generate more than $1 billion in annual net synergies beginning in 2015. www.aa.com
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