US Airways Wings News

What is the recent news from this major airline, you might be asking?

The last time everyone heard about them, US Airways wings planned to do a major merger. In fact, if it will happen, it will be the biggest merger in history. The proposed merger came from American Airlines company.

When both (and if) companies will merge, they will form a biggest airline company in the world. But so far this isn’t happening.

US Airways wings were sued by the government.

When government heard about the merger they opened a case against it. They told the public that the merger will actually hurt consumers, because this will be the biggest airline company in the world and thus they will be able to greatly influence flight prices. It will be almost like monopoly, especially in US market. So they are worried about it.

US Airways wings and American Airlines on the other hand are heavily protesting. They will be defending their case in November, 2013. They want to prove that the merger will actually do good for consumers and both companies.

There is no doubt about US Airways Wings Company

In the past few years their financial situation was incredibly bad. Two times they were almost bankrupt (filed for bankruptcy two times, but government helped them). And they are not doing good at the moment. Still losing money. So they desperately need this merger to happen.

It will allow US Airways wings to get cheaper prices on flights. So far this company is incredibly expensive, despite their bad customer service. They have the best baggage handling system though.

But they are continuously improving, so it should be better and better in the near future (if they will not go out of business before that). Plus American Airlines will help greatly. 

The biggest stake in the company will belong to American Airlines and it’s something like 3 to 1. US Airways wings just own 25% or so. The new company headquarters will be located in Texas. That’s where American Airlines headquarters are.

So everyone is waiting for the court. Who will win? Both parties have gathered huge amount of witnesses. For government there will be 12 witnesses and 3 experts and for both airline companies CEOs and top executives will act as witnesses.

US Airways wings merger news

 US Airways wings merger news

We all know that American Airlines and US Airways wings decided to do the biggest merger in history of airlines quite some time ago. There was a lawsuit filled against the deal and both companies had to take part in trial. They won the lawsuit, but there is one more coming in November 15th.

It's also rumored that it could be postponed till March next year. That could be bad news for the merger. US Airways wings desperately needs the merger sooner. Seth Bloom said that we should expect a decision soon. It should be done by the end of the year. If not, that will put merger at risk.

Both airlines (American Airlines and US airways wings) want to have settlements talks with the Justice Department.

Experts said that the lawsuit is prolonging the merger needlessly, since these 2 corporations will work together very well. (US Airways wings faced few bankruptcies in the past, and their future depends on this merger).

Lawyers from both airlines said that what they do will be beneficial for the general public and they hope that judge will be able to see it too, with their help. They also appreciated the fact that court considered a trial this year, in November. This will help with the merger.

Both sides agreed on long 10-12 day bench trial for this case. All top airline executives from both companies will act as witnesses on upcoming trial. The government on the other hand will be challenging their claim with 12 witnesses from their side, as well as 3 experts.

The government explains their decision with the fact that it (US Airways wings and American Airlines) will become the largest airline in the world. And this will greatly lower competition and allow them to create some sort of monopoly, which in turn will greatly affect customers (in a bad way).

We'll see what happens in next few months.