AA, US Airways confirm US$11b merger
American Airlines and US Airways have confirmed they will merge to create the world's largest airline with a market value of US$11 billion.
The deal, which is subject to approval from competition regulators and a US bankruptcy court, will see the combined airlines operate 6,700 flights to 336 destinations in 56 countries.
It will take the American Airlines name, be based in Dallas-Fort Worth and be headed by US Airways chief executive Doug Parker.
The regional carriers owned by AA and US Airways – American Eagle and Piedmont and PSA respectively – are expected to be retained.
The airline will essentially be under the control of creditors of the bankrupt AA parent company.
Tom Horton, chairman, president and chief executive of AA, said: "We are proud to launch the new American Airlines – a premier global carrier well equipped to compete and win against the best in the world.
"Together we will be even better positioned to deliver for all of our stakeholders, including our customers, people, investors, partners and the many communities we serve."
The networks of the carriers are "highly complementary", he added.
Horton said the merger follows "months of exhaustive analysis and a thorough review of all alternatives".
"We concluded that this merger is the best outcome for our company, delivering not only the greatest value for our financial stakeholders but also positioning us well for sustainable success over the long term," he said.
Doug Parker, who will become chief executive of the combined airline, said the deal will give the carriers greater "scale, breadth and capabilities" to compete in such a competitive aviation landscape.
"Our combined network will provide a significantly more attractive offering to customers, ensuring that we are always able to take them where they want to travel, when they want to go," he said.
American Airlines will remain with Oneworld – US Airways was a Star Alliance member – with an expanded relationship with Qantas likely.
Qantas already has a major partnership with AA on routes from Dallas-Fort Worth.
AA and US Airways said they expect one time transition costs of US$1.2 billion over the next three years while annual savings could grow to more than US$1 billion by 2015.
Latest News
Mat McLachlan Battlefield Tours advises final call for Anzac Day 2025
Mat McLachlan Battlefield Tours has advised that the final call for Anzac Day 2025 is on 31 January 2025 with pre-registration also available for Anzac Day 2026. Travellers are encouraged to book their spot for either the 10-day Anzac Day on the Western Front departing on 19 April from Paris or the 8-day Anzac Day […]
Two destinations to visit in Mexico for Valentine’s Day
Valentine’s Day is quickly approaching and here are two romantic getaway destinations in Mexico to make any traveller’s day with their special someone even better. Casona Roma Norte, Mexico City This Valentine’s Day is the perfect time to visit Mexico City, as the streets come alive with roses, heartfelt gifts, and the city basks in […]
Emirates debuts new uniform for Premium and VIP Passenger Services team
Emirates has debuted a new uniform designed for its Premium & VIP Passengers Services team, who are responsible for the seamless transfer of VIPs through Dubai International Airport. The new uniform has echoes of the iconic Emirates cabin crew look, however, exclusively represents Emirates’ elite unit that caters to high profile customers. A new look […]
Exclusive: Infinity Holidays redundancies after API hotel business shutdown
Christmas seems a common time for these things to happen. Time to start the new year afresh!
Camino Token president says new listings may open floodgates for cryptocurrency in travel
Travels crypto revolution is on the way (apparently). Don't fall behind... Click here!
Accor wraps up 2024 with record growth for Sofitel, Sofitel Legend, MGallery and Emblems
After experiencing the mesmerising Maud Bailly speech at the Sofitel Sydney Wentworth opening, it's no wonder...
BEIA appoints Rachel Cook as its new chair
The Business Events Industry Aotearoa (BEIA) Approved Professional Conference Organisers (PCO) Group has appointed Rachel Cook as its new chair. Cook is the business director of Conference Innovators (CI) and since joining CI 20 years ago has been instrumental in the company’s continuing growth and success. She plays a pivotal role in building and supporting […]
GALLERY: St Peter opens the gates to Grand National’s boutique hotel in Paddington
Is St Peter Fish Fat Soap taking fin-to-fin focus a little too far? No, we say. Just dust us with a little salt after.
Laguna Lang Co takes centre stage for Vietnam’s National Tourism Year, Fusion Resort & Villas Da Nang officially open
Vietnam might just be the best place in the world to go for golf. Good food, great courses and cheap prices!
Travel Associates advisors jump from Virtuoso to FCTG’s Luxury Travel Collection
Lips appear very tight on a big story flying around this morning. That only leaves us with more questions!
The Ultimate Escapes: Transformative Retreats for 2025
As modern life accelerates, the concept of retreating has taken on a whole new significance, and we're all for it.
Gaya Island Resort unveils its Wildlife Wonders package
Gaya Island Resort has unveiled its Wildlife Wonders package, a meticulously crafted 4-day, 3-night adventure designed for nature enthusiasts eager to discover the island’s rich biodiversity. The resort is nestled on the tranquil shores of Pulau Gaya, the largest island in Tunku Abdul Rahman Marine Park just off Kota Kinabalu. Its location makes it the […]
Celestyal celebrates 10 years with agent rewards and incentives
We like the Celestyal crew, now agents will like them as much as us with this giveaway.
Australian Open travel industry activations help hit attendance figures out of the park
While the hotel lounges on offer look comfy, we are sure that the corporate boxes are also well attended.
PONANT takes majority stake in Aqua Expeditions in river cruise shake up
The French do style and grace as good as any, so we're sure Aqua Expeditions guests to be are in for a treat.
New Caledonia is open and ready for business as Smartraveller downgrades warning
Eight months after the civil unrest, the South Pacific destination of New Caledonia has reopened and is ready to welcome Australian tourists. Smartraveller has recently downgraded its travel advice to the destination following the removal of the nation’s curfew on the 2nd of December. The island is currently rated as amber – ‘exercise a high […]
The Westin Resort Nusa Dua introduces refined elegance in Bali with revamped accommodation
If the owner could just leave their Amex Black Card on the coffee table in the lounge, then we are set.
Atura Wellington unveils newly refurbished rooms in the New Zealand hotel
Atura Wellington, the former Thorndon Hotel by Rydges, has unveiled its newly refurbished rooms in the New Zealand hotel. The rooms were completed following a full refurbishment of all public spaces as part of a broader redevelopment plan. All 108 guest rooms have now been upgraded. The hotel is in the historic Thorndon neighbourhood and […]
Red Cat Adventures all in on fight to save the Great Barrier Reef
Looks like a satisfying gig, too bad we didn't take the marine biology class in year 12.
Qatar Airways returns to Malta with four weekly flights this summer
And you could watch the scary big yellow bear at Hamad Airport, as you pass through.
Raffles Sentosa Singapore opens for booking enquiries
We had a quick look around Raffles Singapore when there recently, and look forward to the next gen venue.
New TransNusa Bali to Perth flights from $169
...and you get to take on up to 30kg of carry-on. Hopefully that includes a board and a fishing rod.
Severe weather leads to flight cancellations at Sydney Airport
Warm and dry is the best option for today, stay safe readers.
PONANT releases new Luxury Voyages Collection brochure
We hear some use the broken ice to add to the evening cocktails.
A plane every three weeks as Qantas readies for major expansion in 2025 and beyond
The Flying Roo just lost out to its rival across the ditch, but it's not all bad news... New planes are on the way!
UPDATED: Japan FF deals drop after Qantas rejects claims about availability
Things come to those who wait, or search diligently every day for deals. Over to you.
Carnival Cruise Line sets sail for Asia in a first for Australian-based ships
Having just experienced our first Asian cruise, we feel that this might just be the tonic for a short OS getaway.
Bhutan one step closer to establishing ‘mindfulness city’
We too practice mindfulness, but fear it does not hold a flame to the approach in Bhutan.
Travel rated second worst offender for ‘misleading pricing’, but change is coming
To put us in the same category as credit card companies is just plain offensive!
Chimu Adventures’ Chile incentive offers ultimate famil to South America
These famils are legendary, we've seen the pictures, mostly blurry ones, but there is evidence.
Four Seasons Resort Mauritius at Anahita shuts down ahead of extensive renovation
This comes on the back of a 'Retire to Mauritius' campaign. Maybe your client wants to try before they buy?
Revealed: Full list of 2025 CLIA awards nominees ahead of sold-out event
Are scalpers circling, given it's a sold-out awards night?
Luxury Atlantis Resort heads to the Pacific after Hawaii land parcel purchase
It's a long way off, so you may want to start saving your Pacific pesos now, or set aside some super.
Rydges Armidale opens Ottoman and The Cellar in New England
Given the AUD, maybe it's time to spend a bit of still valued coin on regional tourism.
Fiji Airports’ 10-year plan to position nation as premier regional hub
Aviation in the South Pacific is heating up, as is the water temperature. Related? Depends who you ask...
Qantas Frequent Flyers alerted to email scam
Given the talk around using your points, no doubt this one will catch a few unwary FFs. Beware!