Jan. 25 (Bloomberg) — US Airways Group Inc., the smallest full-service domestic carrier, confirmed its evaluating a possible merger with American Airlines parent AMR Corp. in bankruptcy.
Millstein & Co., Barclays Plc and the law firm of Latham & Watkins LLP have been hired to help Tempe, Arizona-based US Airways evaluate AMR options, Chief Executive Officer Doug Parker said today on a conference call with analysts and investors.
His comments marked the first acknowledgment of any AMR- related interest, after US Airways declined to respond last week when two people familiar with the matter said a potential merger was under study. With the industry shrinking in tie-ups in the past four years, further contraction is possible while “no longer imperative,” Parker said today.
“We can now decide whether it’s best to operate as a standalone or to participate in further consolidation over time, and that’s what we intend to do,” Parker said. US Airways is “always interested in studying potential value-enhancing opportunities.”
Full story: US Airways Confirms Exploration of Possible Merger With AMR