Mexico City – United Airlines chief executive officer Scott Kirby has floated a possible combination with rival American Airlines Group, Bloomberg News reported on April 13, citing people familiar with the talks.
Mr Kirby has pitched the idea to senior government officials, though it’s unclear if any overtures have since been made or if an actual process is underway to explore a deal, Bloomberg added.
United Airlines declined to comment. American Airlines and the White House did not immediately respond to requests for comment.
A potential merger would further consolidate the US domestic passenger market controlled by four US airlines – American Airlines, Delta Air Lines, United Airlines and Southwest Airlines.
American Airlines shares were up more than 5 per cent after the bell on April 13, while United Airlines was flat.
Mr Kirby has previously served as the president of American Airlines from 2013 to 2016.
United Airlines has a market capitalisation of nearly US$31 billion (S$39.5 billion), while American Airlines is valued at US$7.42 billion, as per LSEG data. REUTERS
