American Airlines (Dallas/Fort Worth) and US Airways (Phoenix) received good news in its efforts to merge. The State of Texas has dropped out of the group opposing the merger along with the U.S. Department of Justice (DOJ). Texas now supports the merger and issued this statement:
Texas Attorney General Greg Abbott, AMR Corporation (Dallas/Fort Worth), the parent company of American Airlines, Inc., and US Airways Group, Inc. (Phoenix) have announced they have reached an agreement for the Texas Attorney General to support the proposed merger of American and US Airways.
Under the terms of the agreement, the new American Airlines will maintain scheduled daily service to more than twenty airports in Texas. In addition, the agreement provides that Dallas/Fort Worth International Airport be maintained as a large hub airport for the combined airline and that the new American will maintain its headquarters in the Dallas/Fort Worth area.
The State of Texas had previously joined the U.S. Department of Justice (“DOJ”) as co-plaintiff in its pending suit to block the merger of American Airlines and US Airways. With today’s agreement, the Texas Attorney General has agreed to withdraw his participation in the DOJ’s lawsuit.
“I’m pleased we were able to find common ground and gain the carefully considered support of the Attorney General in our home state,” said Tom Horton, chairman, president and CEO of AMR. “This is an important step forward for American Airlines, for Texas, and for our customers and people of both American and US Airways. Texas has long played a lead role in our company’s history, and this agreement is assurance of our commitment to maintain and enhance the outstanding levels of service and connectivity that the new American will provide to the citizens of Texas. This merger will enhance job security and career opportunities for our combined Texas based employee base of nearly 25,000. The combined airline will fly more people and more goods to more places while providing more competition to benefit customers in the U.S. and abroad. We thank Attorney General Abbott for his partnership in finding a solution and also thank the people of American and US Airways for their continued support of the merger.”
Doug Parker, chairman and CEO of US Airways, said the following: “We are grateful to have the support of Attorney General Abbott. In addition, the support for the merger from the employees of American Airlines and US Airways has been overwhelming. This combination makes sense for our customers, employees and the communities we serve. We are dedicated to completing this merger on behalf of all of them.”
Texas airports included in the agreement include:
- Abilene Regional Airport
- Austin-Bergstrom International Airport
- Brownsville/South Padre Island International Airport
- Corpus Christi International Airport
- Dallas/Fort Worth International Airport
- East Texas Regional Airport
- Easterwood Airport
- El Paso International Airport
- Houston William P. Hobby Airport
- Houston George Bush Intercontinental Airport
- Jack Brooks Regional Airport
- Killeen-Fort Hood Regional Airport
- Laredo International Airport
- Lubbock Preston Smith International Airport
- McAllen-Miller International Airport
- Midland International Airport
- Rick Husband Amarillo International Airport
- San Angelo Regional Airport
- San Antonio International Airport
- Tyler Pounds Regional Airport
- Waco Regional Airport
- Wichita Falls Regional Airport
In other news, the DOJ lost its bid to delay the trial in its lawsuit to stop the merger. Many of the DOJ’s attorneys and staff were put on furlough due the government shutdown.
The “airline trial of the century” will proceed as scheduled in late November.
Copyright Photo: Eddie Maloney/AirlinersGallery.com. American’s Boeing 737-823 WL N938NN (msn 33490) lands in Las Vegas.