Justice Department to Investigate American-US Airways Merger

June 28
3:51 AM 2013

The US Justice Department investigated the planned merger of American Airlines Inc and US Airways Group Inc. This is because the said merger would create the world's biggest airline firm according to three sources that told Reuters.

According to one source, the discussions were between the Justice Department and the firms whether they will agree to sell slots and take off and landings rights. The sources asked not to be named as they were protecting their business relationships. This will decrease the dominance of the airlines at Reagan International Airport outside Washington DC.

On February 14, the US Airways announced its merger plans with American. The latter is emerging from bankruptcy and planned to create an US$11 billion airline company. The deal waits the approval of the US Justice Department and the Department of Transportation. The merger is expected to complete by end of September.

American Airlines and US Airways refused to give statements regarding said merger.

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