If American Airlines and US Airways Group merge, pilots of the carriers would initially be governed by the contract currently in place with American's pilots, according to terms of a memorandum disclosed on Tuesday. The so-called memorandum of understanding has been approved by the leadership of the Allied Pilots Association, which represents American's pilots, and the US Airline Pilots Association, the union for US Airways pilots, as well as by the two carriers.American parent AMR Corp, which filed for bankruptcy in November 2011, is weighing merging with US Airways against exiting Chapter 11 as a stand-alone company. A combined carrier's revenues would be on a par with the revenues of United Continental Holdings, which became the world's largest airline in 2010.In a statement, American Airlines stressed that the memo of understanding would only become effective should a merger be approved, and added it outlines the process to reach a joint collective bargaining agreement for pilots.The memorandum of understanding "was negotiated to give the parties greater clarity on both the costs and the pilot integration processes associated with a potential merger, as American reviews its strategic alternatives," spokesman Bruce Hicks stated.
US Airways Group, Inc. operates and owns passenger and freight airline carrier. Shares of LCC fell by 2.97% or $-0.435/share to $14.24. In the past year, the shares have traded as low as $5.81 and as high as $15.50. On average, 5776950 shares of LCC exchange hands on a given day and today's volume is recorded at 5665596.
United Continental Holdings, Inc. (UAL) is a holding company and its principal, wholly owned subsidiaries are United Air Lines, Inc. Shares of UAL fell by 0.35% or $-0.09/share to $25.90. In the past year, the shares have traded as low as $17.45 and as high as $26.11. On average, 3914520 shares of UAL exchange hands on a given day and today's volume is recorded at 3857287.
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