You have reached your limit of free articles this month.

Enjoy unlimited access to SpringfieldNewsSun.com

Starting at just 99¢ for 8 weeks.

GREAT REASONS TO SUBSCRIBE TODAY!

  • IN-DEPTH REPORTING
  • INTERACTIVE STORYTELLING
  • NEW TOPICS & COVERAGE
  • ePAPER
X

You have read of premium articles.

Get unlimited access to all of our breaking news, in-depth coverage and interactive features. Starting at just 99c for 8 weeks.

X

Welcome to SpringfieldNewsSun.com

Your source for Clark and Champaign counties’ hometown news. All readers have free access to a limited number of stories every month.

If you are a News-Sun subscriber, please take a moment to login for unlimited access.

US Airways shareholders approve merger with American


US Airways and American Airlines moved closer to creating the world’s biggest airline Friday, as US Airways shareholders overwhelmingly approved their proposed merger.

Shareholders of US Airways Group Inc. would get 28 percent of the shares in the combined company, with the rest going to creditors, employees and shareholders of American Airlines parent AMR Corp.

US Airways said that 132,273,780 shares were voted in favor of the merger while 257,757 shares were voted against it. Another 256,523 abstained.

The merger still is being reviewed by antitrust regulators at the U.S. Department of Justice. It also needs the approval of American’s creditors and the judge overseeing the airline’s bankruptcy proceedings.

Critics of the merger worry that it will reduce competition and drive up prices. Similar complaints arose around the mergers of Delta and Northwest in 2008, United and Continental in 2010, and Southwest and AirTran in 2011. Antitrust regulators allowed all those deals to go through.

Those other mergers changed the industry landscape, creating giants that made it harder for US Airways and American to compete, said Doug Parker, CEO of US Airways.

If the deal goes through, the new American, United, Delta and Southwest will control more than 80 percent of the domestic air-travel market.

American Airlines and AMR have been operating under bankruptcy protection since November 2011. The merger would take effect when AMR emerges from Chapter 11 as a new company, American Airlines Group Inc.

AMR creditors are voting through July 29 on the reorganization and merger and are widely expected to approve the deal. A federal bankruptcy judge in New York has scheduled an Aug. 15 hearing to consider approving the merger, which Parker predicted would take place by the end of September.

The airlines would operate separately for months, if not a couple of years, as they combine work forces, fleets, computer systems and frequent-flier programs.

About 50 members of the Service Employees International Union protested outside the building where the US Airways meeting was being held, and several spoke during the shareholder event. They demanded better pay and, in some cases, union representation for airport workers.



Reader Comments ...


Next Up in Business

Miamisburg candy store now selling pickle juice soda
Miamisburg candy store now selling pickle juice soda

Are you ready for Pickle Juice Soda Pop? Miamisburg-based Grandpa Joe’s Candy Shop is now selling dill pickle-flavored pop in stores and online. The vintage-style store at 42 South Main St. in downtown Miamisburg has more than 200 bottles of specialty sodas. “If you’re the kind of pickle lover who relishes all things pickled, this...
Waffle House co-founder dies a month after business partner
Waffle House co-founder dies a month after business partner

Both of the founders of Waffle House have died, just two months apart. Co-founder Tom Forkner died earlier this week at 98 years old, just two months after his business partner Joe Rogers Sr. died in early March. Rogers was 97 years old. “Tom will be remembered as a man of honesty and integrity,” Waffle House Chairman Joe Rogers Jr...
Ohio’s largest 100 employers in 2017: Walmart tops the list
Ohio’s largest 100 employers in 2017: Walmart tops the list

Walmart is back on top as Ohio’s biggest employer, regaining the No. 1 spot from the Cleveland Clinic, which usurped the giant Bentonville, Ark.-based retailer last year, according to a new list of the state’s top 100 employers. Walmart — with 173 retail operations, including nearly two dozen in the Dayton area — has 50,500...
PHOTOS: Nearly $1M Washington Twp. home for sale
PHOTOS: Nearly $1M Washington Twp. home for sale

A Washington Twp. house that features panoramic views of a wooded lawn is on sale for nearly $1 million. The home, located at 10765 Falls Creek Lane in the Waterbury Woods subdivision, is listed for $999,000 by Coldwell Banker Heritage Realtors. It sits on three-fourths of an acre property on a cul-de-sac. The 8,350 square feet of living space features...
Time running out on Premier, UnitedHealthcare negotiations
Time running out on Premier, UnitedHealthcare negotiations

Negotiations between southwest Ohio’s largest health system, Dayton-based Premier Health, and UnitedHealthcare, the nation’s largest health insurance company, remained at a standstill Thursday with the first deadline for their contract to expire rapidly approaching. UnitedHealthcare’s contract with Premier hospitals is set to expire...
More Stories