American Airlines And US Airways Looking At Possible Merger
(FOX NEWS) – American Airlines and US Airways are reportedly hashing out the final details of a possible merger, which would create the world’s largest airline.
According to the wall street journal, both sides are racing to wrap up the all stock deal within the next week or two.
American air has resisted a deal at various points as it works to come out of bankruptcy protection.
And the airlines still have some big issues to work out, including how to split ownership of the airline and how to arrange board seats and management ranks, but under the current proposal, American creditors would own roughly 72-percent of the new airline.
Us airways’ shareholders would own about 28-percent.
It also calls for US Airways CEO Doug Parker to run the combined airline.
Tom Horton, the CEO of American air’s parent company AMR, could become non-executive board chairman for a limited time, though his exact position is in flux.