If the $3 billion all-stock merger between United Airlines and Continental Airlines gets approved by the anti-trust division of the Justice Department, the combined carrier will become the world’s biggest airline.
According to the Continental Airlines news release,the new entity will be named United Continental Holdings, and the name of the airline with be United.
The aircraft themselves will feature the Continental logo and colors.
One has to wonder what this will mean for US Airways going forward. The airline only has about 8 percent of the commercial aviation market share.
US Air, if you remember, was in talks with United for nine months and was very close to a deal before it fell through.
It's conceivable that the airline will be taken out down the road. The hope being that with consolidation, the airline can get a more rational pricing environment.
Additional Related Links:
- What's Next for U.S. Airways?
- US Airways Shares Rise As Analyst Upgrades on 1Q
- Airline Mega-Merger Talks
- United and Continental Finally Get Together
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