United Airlines CEO pitched megamerger with American in White House Trump meeting: report

United Airlines CEO Scott Kirby pitched a blockbuster merger with rival American Airlines during a White House meeting with President Trump, according to a report.The proposal came during a Feb.25 White House meeting, where Kirby argued a combined airline would better compete globally — though a person close to the administration said there was skepticism about the idea, the Reuters news agency reported.Any tie-up would face steep antitrust hurdles in the already highly consolidated domestic airline industry, where four major carriers dominate roughly 70% of the market and regulators are wary of further shrinking competition.United controls about 16.7% of the U.S.

domestic market while American holds roughly 17.4% — meaning a combined airline would command more than a third of all traffic, a level likely to intensify regulatory scrutiny.A United spokesperson declined to comment.The Post has reached out to American Airlines and the White House.Shares of American surged nearly 8% in early trading following the report on Tuesday morning, while United rose about 2%, reflecting investor optimism around a potential tie-up.Recent dealmaking in the industry shows just how hard it has become to win regulatory approval.In 2024, the Biden Justice Department successfully challenged JetBlue’s planned takeover of Spirit, arguing the merger would eliminate a low-cost rival and drive up fares, and a federal judge ultimately blocked the deal.Regulators also moved against looser forms of consolidation.

In 2021, DOJ sued to unwind the Northeast Alliance between American and JetBlue, arguing the partnership reduced competition in the New York and Boston markets, and a judge ordered the arrangement terminated.Even older airline mergers that did get done came with strict prerequisites.When American merged with US Airways in 2013, the DOJ sued before settling on a package of slot and gate divestitures at congested airports, while United’s 2010 tie-up with Continental required di...

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Publisher: New York Post

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