Chicago May Come Out On Top After United Merger

After flirting with US Airways, United Airlines reportedly is courting Continental Airlines for a possible merger instead. This is a familiar dance for Chicago-based United, which has tried but failed to close separate merger deals with both US Airways and Continental in the past.» E-Mail This     » Add to Del.icio.us

Now that the long planned merger between American Airlines and U.S.

Davide Pavone submits: Major air carriers have obtained an interesting benefit through recent consolidation: greater bargaining power in the upcoming renegotiation of regional airline capacity purchase agreements. The greater bargaining influence is due to:an excessive supply of capacity in regional markets (brought about by consolidation)reduced counterparty risk.

United Airlines and Continental Airlines have announced plans to merge, creating the world's largest air carrier in terms of passengers. The company will use the United name and the Continental logo. The deal is good for the companies, but it has travelers worried about higher prices.» E-Mail This     » Add to Del.icio.us

The proposed mega-merger of United and Continental Airlines is being touted by the companies as a cost-saving, revenue-producing deal that would create a global powerhouse. Travel and consumer experts say there's still plenty of competition to keep air fares in check.» E-Mail This     » Add to Del.icio.us

Directors at Continental and United airlines have approved a deal that would combine them into the world's largest airline, a source with knowledge of the situation said on Sunday.» E-Mail This     » Add to Del.icio.us

Even though Continental and United vowed to keep all eight domestic hubs in their merger agreement, Cleveland is uneasy. It fears the combined airline will strip Cleveland of its hub status and that would impact the region's ability to attract and retain businesses. Dan Bobkoff reports for member station WCPN in Cleveland.

As the reality of a proposed merger between United Airways and Continental Airlines sinks in, the reaction from people in cities likely affected by the deal varies widely. Continental plans to pull up its corporate stakes, leaving some Houstonians feeling jilted. Laurie Johnson reports for member station KUHF in Houston.