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American Airlines considers merger

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Must Reads
Wednesday, July 11, 2012

American Airlines is evaluating five airlines for a potential merger.

A source familiar with the situation said AMR sees itself as an acquirer in potential mergers and at least five airlines -- US Airways Group Inc, JetBlue Airways Corp, Alaska Air Group, Republic Airways' Frontier Airlines, and Virgin America -- will be considered.

American has faced mounting pressure from vocal members of its creditors committee, led by its largest labor unions, who have argued that a merger with US Airways would give the combined carrier a strong network to compete with rivals beefed up by their own mergers. US Airways has expressed interest in a merger and has been courting AMR's creditors.

Read more at Reuters.

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