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Report: American Airlines, US Airways To Merge

By CICELY MITCHELL, CBS Houston
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(credit: Getty Images)

(credit: Getty Images)

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HOUSTON (CBS Houston) Reports indicate that American Airlines and US Airways will merge creating the world’s biggest airline. Although the official announcement is not slated to come until Thursday, reports indicated Wednesday evening that the boards of both airline companies approved the merger.

Both American Airlines and US Air together will be a bigger airline than United Airlines. It was only five years ago that American was the world’s largest airline.

The new carrier will keep the American Airlines name but will be run by US Airways CEO Doug Parker. American’s CEO, Tom Horton, will become chairman of the new company, further reports stated late Wednesday.

With the deal for the merger being in the works since August of 2012 and tremendous speculation  of a merger surrounding both of the airlines, American has worked on reconstruction efforts under bankruptcy protection since late 2011.

US Air is based in Tempe, Arizona and is a  member of the Star Alliance Network, US Air employed 32,213 people worldwide and operated 3,028 daily flights, as of January 2013.

American Airlines is a major U.S. airline and a subsidiary of AMR Corporation. It is headquartered in Fort Worth, Texas. The airline is also adjacent to its largest hub at Dallas/Fort Worth International Airport.

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