AirTalk for August 14, 2013

Feds sue to block massive airline merger

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The government's opposes the merger of US Airways and American Airlines.

The plan to create the largest airline in U.S. history may get derailed by the Department of Justice. calling the merger "pretty messed up" and "bad for consumers," Assistant Attorney General Bill Baer announced a lawsuit to block the deal between American Airlines and US Airways that was cemented earlier this year. It would have meant the third mega-merger of legacy carriers in recent years - following Delta-Northwest and United-Continental.

How would it affect consumers and the overall travel market? Does a deal stopper mean American Airlines and U.S. Airways lead to worries of bankruptcy?

Guests:

Charlie Leocha, Director, The Consumer Travel Alliance - a nonprofit, nonpartisan organization

Marc Scribner, Fellow in Transportation Studies, Competitive Enterprise Institute


 


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