Aug 14, 2013

Justice Department To Airlines: Your Days Of Mega-Consolidation Mergers Are Over
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Written by : Tom George| 0 | Fashion

american airlines us airways at reagan airport dc

The Justice Department filed a lawsuit Monday to block the $11 billion merger of American Airlines and US Airways, a deal that would have created the world’s largest airline. It was a surprise move from an office that has allowed three major airline combinations in the past five years, and could mark a watershed moment in how the DOJ handles the airline industry.

The DOJ complaint argues that the merger is not key to the survival of either company and that the loss of a competitor in an already small field would “result in passengers paying higher airfares and receiving less service.”

For their part, American and US Airways said they plan to “mount a vigorous defense and pursue all legal options” to complete the “procompetitive deal.” A Line In The Sand This isn’t totally new territory for the DOJ. It blocked United’s proposed acquisition of US Airways in July 2001, […]

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Tom George

Founder and CEO of Internet Billboards. A futurist and serial entrepreneur, as well as a professional fitness trainer, martial artist, and business strategist. Helped to develop inbound advertising. An avid content curator who enjoys finding those digital gems out there in cyberspace and sharing them with others.
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Content Curator

Tom George

Founder and CEO of Internet Billboards. A futurist and serial entrepreneur, as well as a professional fitness trainer, martial artist, and business strategist. Helped to develop inbound advertising. An avid content curator who enjoys finding those digital gems out there in cyberspace and sharing them with others.

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