http://www.usatoday.com/travel/flights/2010-04-19-united19_ST_N.htm
Is United seeking 3-way deal with US Airways, Continental?
Updated 44m ago
By Dan Reed, USA TODAY
United Airlines ' (UAUA) talks with US Airways (LCC) and Continental Airlines (CAL) could result in more than just a simple merger of two big airlines.
Some analysts suspect that United is trying to put together a complex three-way deal that, in effect, would create a global aviation leader almost 50% larger than current No. 1 Delta.
To pull that off, United — which is already a Star alliance partner with both airlines — would have to convince antitrust regulators and Congress that such a large and unprecedented combination of carriers wouldn't reduce flight options and lead to higher fares. They'll also have to win the support of labor unions.
"United's 'Plan A' all along has been to do a merger with US Airways and keep Continental as their alliance partner with antitrust immunity," says independent analyst Hubert Horan. An executive at Northwest Airlines in the 1990s, Horan helped build the first international airline alliance, with KLM.
Is United seeking 3-way deal with US Airways, Continental?
Updated 44m ago
By Dan Reed, USA TODAY
United Airlines ' (UAUA) talks with US Airways (LCC) and Continental Airlines (CAL) could result in more than just a simple merger of two big airlines.
Some analysts suspect that United is trying to put together a complex three-way deal that, in effect, would create a global aviation leader almost 50% larger than current No. 1 Delta.
To pull that off, United — which is already a Star alliance partner with both airlines — would have to convince antitrust regulators and Congress that such a large and unprecedented combination of carriers wouldn't reduce flight options and lead to higher fares. They'll also have to win the support of labor unions.
"United's 'Plan A' all along has been to do a merger with US Airways and keep Continental as their alliance partner with antitrust immunity," says independent analyst Hubert Horan. An executive at Northwest Airlines in the 1990s, Horan helped build the first international airline alliance, with KLM.