American Airlines and US Airways have announced plans to launch the “New American Airlines” by combining companies to create a premier global carrier. The new carrier is said to have a combined equity value of approximately $11 billion, based on the price of US Airways’ stock earlier this week.
The new carrier will operate under the American Airlines name and will offer benefits to customers, communities, staff, investors and creditors of both airlines. Customers of either airline will now have access to more options and increased services as the companies combine to offer customers a larger choice of destinations.
“The combined airline will have the scale, breadth and capabilities to compete more effectively and profitably in the global marketplace,” said Doug Parker, chairman and CEO of US airways. “Our combined network will provide a significantly more attractive offering to customers, ensuring that we are always able to take them where they want to travel, when they want to go."
The new combined airline will fly to 21 destinations in Europe and the Middle East and will provide the most service across the East Coast and central regions of America. It will also offer better connectivity within the oneworld alliance, a global frequent flyer scheme, creating more options for travel both domestically and internationally.
Speaking of the deal between the airlines, Tom Horton, CEO of American Airlines said "the combination of American and US Airways brings together two highly complementary networks with access to the best destinations around the globe and gives us a strong platform to provide our customers the most connected, comfortable travel experience available.”