United Airlines approached American Airlines about merger talks

United Airlines (NASDAQ: UAL) CEO Scott Kirby confirmed that he approached American Airlines about exploring a potential merger between the two carriers, according to a statement released April 27.

Kirby said he believed the combination could create benefits for customers but that American Airlines declined to engage in discussions and publicly rejected the proposal. "Without a willing partner, something this big simply can't get done," Kirby stated.

The United CEO described his vision as different from previous airline mergers, which typically involved struggling carriers combining to reduce costs and capacity. Instead, Kirby said he proposed a growth-focused merger aimed at expanding service and enhancing customer experience.

According to Kirby, the proposed combination would have expanded international routes and service to smaller communities, created additional economy seats in the marketplace, and positioned the merged entity to compete with foreign carriers that currently operate about 65% of long-haul seats into the United States.

Kirby acknowledged that regulatory approval would have required divestitures in certain domestic markets but expressed confidence that regulators would have approved the deal based on its growth focus rather than cost reduction.

The statement noted that ticket prices in 2025 were 29% lower than pre-pandemic levels when adjusted for inflation. United has invested in fleet modernization, including aircraft with enhanced amenities and free Wi-Fi service.

With merger discussions ended, Kirby said United will continue pursuing its independent growth strategy with its current workforce of 115,000 employees.

You May Also Be Interested In

• Prologis makes unsolicited bid for SEGRO, valued at £12.6 billion
• Natera's Signatera wins Japan approval for colorectal cancer
• Citizens Starts MARA Holdings Inc (MARA) at Market Outperform