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Wednesday, February 13, 2013

American-US Air $11 billion merger gets board OK-sources, (NYSE: LCC)

The boards of AMR Corp and US Airways Group Inc each met on Wednesday to approve a merger that would create the world's largest airline with an expected market value of around $11 billion, people familiar with the matter said.The all-stock merger, which is set to be announced early on Thursday, would finalize the consolidation of legacy U.S. air carriers that helped put the industry on a more solid financial footing.AMR's bankruptcy creditors will own 72 percent of the combined airline, which will do business under the American Airlines brand and be based in Fort Worth, Texas, the people said. US Airways shareholders will own the rest.The board approval came after AMR's unsecured creditors committee, which includes all three of AMR's major unions, met earlier on Wednesday to approve a proposed merger agreement, the people said.

US Airways Group, Inc. operates and owns passenger and freight airline carrier. Shares of LCC traded higher by 2.73% or $0.39/share to $14.66. In the past year, the shares have traded as low as $6.78 and as high as $15.64. On average, 6272540 shares of LCC exchange hands on a given day and today's volume is recorded at 10259482.



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