Report: US Airways, American Airlines merger could happen in two weeks
Jan 25, 2013, 6:37 PM | Updated: 6:37 pm
The long process of the American Airlines merger with U.S. Airways could come to a close soon.
According to Reuters, the merger could be completed in as little as two weeks.
American Airlines’ board, which filed for bankruptcy in Nov. 2011, is scheduled to meet on Jan. 28 and Jan. 29 to discuss the newest developments in the negotiation process.
The airlines have a potential structure for the board of a merged company, which would consist of members from the existing boards of US Airways and AMR, and those to be designated by AMR creditors, the people said.
It is believed that negotiations are not coming down to equity sharing between US Airways shareholders and American Airlines creditors. The creditors feel they should own more than 70 percent of the equity in the proposed merger.
If the merger is completed, the new airline would likely be the largest in the world.
