American Airlines and US Airways merged

http://money.cnn.com/2013/11/12/news/companies/us-airways-american-airlines-antitrust/

According to CNN, American Airlines and US Airways merged together to be the largest airline. It is said that the Justice Department has reached a settlement with two airlines that they are required to sell facilities at seven airports to finish their merger. Meanwhile, under the agreement, the lower-cost airlines will increase their presence at many airport in United States.

The new airlines will give up several slots at different nation’s airports due to the antitrust law. Because of the appearance of the new slots, the competitions between airlines will be more intensive, breaking the present peace between each other. Other airlines will try their best to buy the slots and find more attractive destinations in order to gain more profit. Customers are expected to benefit from this merger. The involvement of different airways in the same air line means more choice for the customers. After the combination, they are easier to buy less expensive tickets and different selections for the airlines because of the rivalries, what’s more, the profit of the new airlines will not be affected.

Leave a Reply

Your email address will not be published. Required fields are marked *