A long-awaited merger between US Airways and American Airlines appeared imminent Wednesday afternoon, as Bloomberg News reported that the two sides had reached a tentative agreement to be voted on by the boards of both airlines.
Bloomberg, citing people familiar with the matter, reported that the board of American parent AMR Corp. was meeting Wednesday afternoon, and that the agreement could go to the US Airways board later Wednesday. Details of the proposal were not disclosed.
Approval by both boards would clear the way for an announcement Thursday.
US Airways Chief Executive Officer Doug Parkerwill be CEO of the merged airline and American CEO Tom Hortonwill be non- executive chairman, people familiar with those decisions have said. Parker has said the combined airline will retain the American name and its Fort Worth, Texas, headquarters.
The combination would create the nations largest airline, ending an era of industry consolidation thats seen mega-mergers including United-Continental, Delta-Northwest, and Southwest-AirTran. Charlotte Douglas International Airport would be the combined airlines second-busiest hub, with more daily American flights than any airport except Dallas-Fort Worth.
The combined company would have $39 billion worth of revenue, more than 100,000 employees, and a fleet of more than 1,500 aircraft, including express carrier affiliates. Observer Staff Reporter Ely Portillo and Bloomberg News contributed.
Portillo: 704-358-5041 On Twitter @ESPortillo