United Airlines Merges
About a week ago, United Airlines and US Airways ended their talk of a merger. Seems United had bigger plans in mind. United Airlines announced on Monday that they will merge with Continental Airlines, making in the world’s largest airline. Delta held the position of the country’s largest airline since it merged with Northwest in 2008. The deal was worth $3.2 billion.
The company will fly under the United name with the Continental logo. If only they would all fly with the customer service of Southwest, then everyone would be happy.
Continental and United talked about a merger in 2008, but Continental ultimately backed out. This time around, United was in a better financial position to seal the deal. The airline will be based in Chicago, United’s base, and have its largest hub in Houston, Continental’s base.
Some believe there will be some hesitancy in approving the merger. The airline may have too much pricing control, which will be something the Justice Department must consider before approving the deal.
Posted on May 3, 2010, in Newspaper & Journal Articles and tagged airline, airline merger, airplane, Continental Airlines, merger, United Airlines, US Airways. Bookmark the permalink. Leave a comment.