US Airways and American Airlines said on February 21, 2013, that they have planned to join hands to merge in a deal worth $11 billion. The merger will create the largest carrier in the US and will help bring an end to the wave of consolidations in the airline industry, at least temporarily.
After the merger, the new airline will operate under the American Airlines name and will be based in Fort Worth, Texas. The company will employ about 94,000 people. The airline said in a statement, “Operating under the American Airlines name, one of the most recognized brands in the world, the combined airline will have a robust global network and a strong financial foundation”.
The new carrier will have 950 planes and will offer 6,500 flights on a daily basis. The airline will operate nine hubs and carry 187 million passengers annually, to generate revenues of about $39 billion. The statement from the airline went on to sat that the merger will offer benefits to the customers of the airlines, as well as employees, communities, creditors and investors.
The merger has been approved by the companies and requires regulatory and bankruptcy court approval. The customers will now have access to more choices and increased services across the combined worldwide network.