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Article updated: 2/14/2013 10:19 AM

American, U.S. Airways announce $11 billion merger

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A merger of American Airlines and US Airways has long been rumored. Negotiations between the two airlines may finally conclude this week.

ASSOCIATED PRESS

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American Airlines and U.S. Airways have agreed to merge in an $11 billion deal that would create the world's biggest airline.The combined carrier will be called American Airlines and be based in Fort Worth, but U.S. Airways CEO Doug Parker will run it. The merger would reduce the number of major U.S. airlines to four: the new American, United, Delta and Southwest.The deal is a coup for smaller U.S. Airways Group Inc., which pushed for a merger almost as soon as American parent AMR Corp. filed for bankruptcy protection in November 2011.
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