The U.S. Department of Justice, six state attorneys general and the District of Columbia filed a civil antitrust lawsuit on Tuesday challenging the proposed $11 billion merger between US Airways and American Airlines’ parent corporation, AMR. The d
The proposed merger of American Airlines and US Airways will no doubt undergo close scrutiny by antitrust regulators and face particularly vigorous opposition from consumer advocacy groups. Even supporters concede that the effort toward creating the largest airline in the world will face obstacles.
Regional airlines and politicians hope a new European Commission report on passenger rights expected this month will lead to clearer rules and more effective enforcement in some countries. The EC has acknowledged that European Union regulations introduced to ensure compensation and assistance for airline passengers facing denied boarding, flight cancellations or long delays involve “imprecise text.”
Europe’s top court has upheld the European Commission’s July 2001 block on a $45 billion merger between Honeywell and General Electric. Both Honeywell and GE have stated that they have no intention of trying to restart the merger, which was first proposed more than four years ago. GE said that its only motivation for appealing the EC decision was to challenge certain legal aspects of the case.
Dallas-based Aviall, one of the largest independent distributors of parts for business aircraft, said the European Commission “has not raised any antitrust issues” related to the proposed acquisition by Boeing, and “therefore cleared the transaction to proceed.” Antitrust clearance in the U.S. was received in June and all other regulatory approvals that are needed have now been obtained, said Aviall.