THE NEW YORK TIMES: The parent company of United Airlines, and Continental Airlines are expected to announce on Monday that they agreed to merge in a deal valued at more than $3 billion, people familiar with the discussions said.
The transaction would create the world’s biggest airline. The board of the UAL Corporation, United’s parent, approved the all-stock transaction to buy Continental on Sunday, these people said.
Continental’s board is also scheduled to meet later on Sunday to approve the deal, according to the people familiar with the talks, who still cautioned that things could still fall through in the final minutes. It is expected to close in the fourth quarter.
The carriers would have a leading presence in the top domestic markets, including New York, Chicago, and Los Angeles, along with an extended network to Asia, Latin America and Europe.
The combination would jump ahead of Delta Air Lines, which became the top airline after its purchase of Northwest Airlines two years ago. >>> Michael J. de la Merced and Jad Mouawad | Sunday, May 02, 2010
