Mergers of U.S. Airlines Appear Inevitable, United Boss Says

godking
27 February 2006 5:00am

United Airlines´ top executive said U.S. airlines inevitably will find ways to merge and his company won´t sit idly by if its United Airlines would benefit.

His remarks were in a Q & A session and he didn´t give details of when and why he expects mergers to occur or which companies might combine. He said in a September speech that the U.S. government should provide more support for mergers of the nation´s airlines as international rivals grow.

United, the largest airline in Denver, exited more than three years of bankruptcy on February 1. Under court protection, the carrier shed $13 billion in debt and pension expenses, about a fifth of its planes and a third of its workers. UAL expects $7 billion in annual savings by 2010 from the reorganization.

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