What the American Airlines-US Airways merger means for customers

Higher prices, teething problems, and a new frequent-flyer program

US Airways CEO Doug Parker and American Airlines CEO Thomas Horton announce the company's merger on Feb. 14.
(Image credit: Donna McWilliam/Getty Images)

On Thursday, American Airlines and US Airways announced an $11 billion merger that would see the creation of the world's largest airline. The merger caps years of consolidation in the U.S. airline market, 70 percent of which will now be controlled by just four companies: The new American-US hybrid (which will be named American Airlines), United Continental, Delta, and Southwest Airlines.

What does this mean for passengers? Some analysts see benefits for customers, particularly corporate clients that prefer airlines with larger domestic and international networks. Furthermore, "the wave of big mergers in the industry has created healthier and more profitable airlines that are now better able to invest in new planes and products," says Jad Mouawad at The New York Times, "including Wi-Fi, individual entertainment screens, and more comfortable seats for business passengers."

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Ryu Spaeth

Ryu Spaeth is deputy editor at TheWeek.com. Follow him on Twitter.