February 13, 2013
AMR board of directors approved a merger with US Airways on Wednesday evening, sources told the Star-Telegram.
The US Airways board also approved the deal, said sources who are close to the deal.
An announcement is scheduled for Thursday morning at Dallas/Fort Worth airport at American Airlines' Admirals Club.
The merger will create the largest airline in the U.S., bumping United Continental out of the top spot. The merged company will have combined revenues of over $38 billion and close to 100,000 employees.
Details of the merger have not been released although sources have said that AMR chief executive Tom Horton will become non-executive chairman of the new carrier. US Airways chief executive Doug Parker will become the chief executive of the merged airline.
The deal is likely to include a 72 percent equity stake for AMR creditors while US Airways shareholders will receive 28 percent of the equity in the new company.