US Airways May Take Over American Airlines

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April 20 2012 4:59 PM

US Airways May Take Over American Airlines

Can one America-themed airline company save another? CBS reports that American Airlines, which filed for bankruptcy last year, may be taken over by U.S. Airways.

American hopes to remain a standalone carrier by cutting $1.25 billion in costs while in Chapter 11, letting existing contracts with unions go void and imposing new ones. But three unions representing some 55,000 employees for AMR Corp, American Airlines’ parent company, support the U.S. Airways takeover. Union leaders say they have also made agreements for governance in preparation for the merger that protect union members’ collective bargaining.

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Should the merger indeed occur, one question may be what to call the newly combined carrier: Ultimate America Airlines? Red, White, and Blue Skies? At least we know the color scheme. 

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