In the past week and a half since agreeing to the assistance offered by a mediator, the United States Department of Justice (DOJ), American Airlines (AA) and US Airways have made significant progress towards settling the DOJ’s anti-trust lawsuit against the US$11 billion merger, which would create the world’s largest airline by the number of passengers carried. On Monday, November 4th, Bloomberg published a report stating that US attorney general Eric Holder hoped to settle the merger lawsuit before its trial begins on 25th November. Holder was quoted in the report as saying, “What we have tried to focus on is to make sure that any resolution in this case necessarily includes divestitures of facilities at key constrained airports throughout the United States.”
In early September, Aspire Aviation had projected that any settlement with the Department of Justice would inevitably include divestitures in order to fully remedy the DOJ’s anti-trust concerns (“Flaws found in US DOJ lawsuit against American/US Airways merger”, 5th Sep, 13). Momentum towards a settlement has increased in recent weeks, and as such, Aspire Aviation has prepared a summary and analysis of divestible assets held by US Airways and American Airlines, as well as an updated settlement proposal.