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American Airlines Becomes the World's Largest Air Carrier
American Airlines became the world's largest air carrier and grounded a venerable competitor Monday after acquiring the assets of bankrupt Trans World Airlines.
The deal, which closes the books on the longest-flying carrier in American commercial aviation, was completed following a day of legal maneuvering capped by a federal judge's refusal to grant a stay that would have blocked the deal.
``Today we celebrate a true milestone for the employees and customers of both American Airlines and TWA. The combination marks the beginning of a new era in aviation, as we bring together some of the most valuable assets and some of the best people in the industry,'' said Donald J. Carty, chairman and chief executive of American Airlines.
American, the No. 2 carrier before the deal, swaps positions with No. 1 United Airlines in terms of revenue passenger miles. The combined company will offer travel to more 300 cities worldwide on more than 900 aircraft.
American's newfound supremacy could be short-lived, though. The airlines will reverse positions again if United succeeds in its bid to obtain most of US Airways.
For now, customers should see no differences as the airlines will operate independently, with separate reservation systems, payrolls, aircraft and policies. TWA eventually will be integrated fully into American's operations, though it was not clear how long the transition period would last.
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