Statements from United Airlines CEO, Scott Kirby this week about a merger with American Airlines caused significant uproar but there is a case that supports the tie-up.
That combination also prevents the more significant risk that American never pays its mountain of debt, the same would be true of JetBlue which is having trouble at the moment. Alaska and Delta had a frenemy relationship for years that has vaulted into an all-out battle in Seattle, but faced with an existential crisis (especially if United-American was Star Alliance) they may bury the hatchet.
Either outcome would likely be atrocious for domestic flight costs. Southwest and the discounters don’t have the capital and the equipment to compete with either one or two behemoths. They wouldn’t be able to match the fleets, seats, or renewed cost savings and richer bank deals for combined entities of this size.
A great solo travel tip spotted this week on Live and Let's Fly.
