DOJ, States Sue to Block US Air-American Merger
Lawsuit filed in federal court
By Newser Editors and Wire Services
Posted Aug 13, 2013 10:07 AM CDT
In this Thursday, Feb. 14, 2013, file photo, American Airlines and US Airways jets prepare for flight at a gate at the Philadelphia International Airport in Philadelphia.   (AP Photo/Matt Rourke, File)

(Newser) – The Justice Department and a number of US state attorneys general are challenging the proposed $11 billion merger between US Airways Group Inc. and American Airlines' parent company, AMR Corp. A lawsuit filed in federal court in Washington, DC, seeks to prevent the companies from making the deal in order to preserve head-to-head competition.

The Justice Department says the merger would result in the creation of the world's largest airline, and that a combination of the two companies would reduce competition for commercial air travel in local markets and result in passengers paying higher airfares and receiving less service. No comment yet from either airline.

Copyright 2016 Newser, LLC. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed. AP contributed to this report.

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Showing 3 of 13 comments
1492
Aug 25, 2013 3:04 PM CDT
Just fly baby, Fly!!! 1492
ChopperPilot
Aug 23, 2013 4:59 PM CDT
Get government control out of business.
JackK
Aug 14, 2013 10:01 AM CDT
So it was okay for United to merge with Continental? Two large companies becoming one? It was okay for Delta to merge with whoever they did to create the largest airline at that time?