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US Airways to merge with American Airlines

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JF Mezei

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Feb 18, 2013, 2:24:39 PM2/18/13
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Sorry for being late, I was at hearings all of last week.

http://www.bbc.co.uk/news/business-21454925

So creditors will own 72% while US Airways shareholders will own 28%.

US Airways CEO will head the combined group.

American recently placed a huge order for both 737s and 320.

Which of Airbus or Boeing stands to gain/lose from this merger ?

Will the new AA be a mix of Boeing/Airbus ? Would it lean more towards
Boeing or Airbus ?

Can we expect some scaling down of orders due to expected route
rationalisation ? (or perhaps upgrading 787 orders to 777s due to
increased loads ?)

Does US Airways fly to Heatrow ? Would this merger force the group to
give up some of their slots ?


Who would have thought that America West would not only not only stop US
Airways' frequent trips to bankrupcy court, but also rescue behemouth
American Airlines ?

When AA went into chapter 11, I thought it had to do more with
restructuring union contracts than dire financial conditions. Was the
financial situation really so bad that shareholders had to lose all
value and AA ended up in a truly bankrupt state where a smaller carrier
to get control over it ?
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