American and US Airways extend merger agreement into 2014

Washington DC
This story is sourced from Pro
See more Pro news »

American Airlines and US Airways have agreed to extend their merger agreement until at least 18 January 2014.

Under an amendment reached on 20 September, the airlines’ proposed merger must be completed by the later of either 18 January 2014, 14 days from a favourable ruling by the US District Court for the District of Columbia’s if it occurs before 17 January or five days from an appealable ruling against the merger by the court, according to a stock exchange filing today.

American and US Airways previously faced a deadline of 17 December to consummate their planned combination.

“The boards and management teams of AMR and US Airways remain committed to completing this combination to create the new American, and the extension of this outside date is a reflection of this commitment,” say Doug Parker, chairman and chief executive of US Airways, and Tom Horton, chairman and chief executive of American, in a joint statement.

The trial in the US Department of Justice’s (DOJ) challenge to the airlines’ proposed merger is scheduled to start on 25 November and take 10 days.