US Airways Says AMR Corp. Name to Disappear in American Merger
US Airways Group Inc. (LCC) said AMR Corp. will disappear after 31 years as the name of American Airlines’ parent once their pending $11 billion merger is final.
American Airlines Group Inc. will replace AMR “immediately after the effective time of the merger,” according to a U.S. regulatory filing today by Tempe, Arizona-based US Airways. The carriers have said they expect to complete the combination in the third quarter.
For months, US Airways Chief Executive Officer Doug Parker has said a tie-up, if approved, would keep the name of the larger American and its Fort Worth, Texas, headquarters. In announcing their merger agreement on Feb. 14, American CEO Tom Horton said the new carrier would be called AMR Corp. (AAMRQ) and operate under the American Airlines name.
“Our filing speaks to our understanding,” John McDonald, a US Airways spokesman, said in an e-mail when asked about the name. “Can’t really expound beyond that.”
Horton “must have just misspoke” in a conference call on the merger last week, Mike Trevino, an American spokesman, said in an e-mailed statement. Trevino confirmed the new name.
American shareholders approved creation of a new holding company called AMR Corp. in 1982, according to the carrier’s website.
US Airways began pursuing a merger in January 2012, less than two months after AMR and American sought bankruptcy court protection. The combination will pass United Continental Holdings Inc. as the world’s largest airline based on passenger traffic.
Parker will serve as CEO of the merged airline, with Horton serving a limited tenure as chairman. The plan must be approved by American’s bankruptcy court, US Airways shareholders and federal regulatory agencies.
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