American Airlines’ parent company, AMR Corp, has signed a non-disclosure agreement with US Airways, paving the way for a possible merger.
The new agreement will enable the two parties to exchange confidential information in order to evaluate the merits of a possible merger. The companies said they do not expect to provide any further announcements regarding the discussions “until the parties have entered into a transaction or discussions between the parties have been terminated”.
According to Bloomberg, American’s partner British Airways is also involved in the non-disclosure agreement.
If completed, the merger would lead to the creation of the world’s largest airline in terms of passenger traffic, catering to almost 170 million passengers per year.