report on Monday, American and US Airways "could announce a deal within a week" confirming the expected merger and divulging details of the agreement.
Although neither company would confirm specifics of the discussions, here's what we know or can guess with a high degree of certainty:
The new company will retain the "American Airlines" name and be based at American's Ft. Worth headquarters.
US Airways chief Doug Parker will be the new CEO. American chief Tom Horton will be named non-executive chairman of the new board and remain in that position at least until the spring of 2014 when the company's first annual shareholder meeting will be held.
American's creditors would own around 72 percent of the new company; US Airways shareholders would get the rest.
Based on 2012 results, the new company would have generated $38.7 billion in revenue.
The merger will generate around $1 billion in combined extra revenue and cost savings for the new company.
The new company will be valued at around $11 billion.
Combining the third- and fifth-largest U.S. carriers will create the world's largest airline, in terms of passenger traffic.
Prior to any post-merger rationalization, the two airlines will have around 94,000 employees, 950 planes, 6,500 daily flights, and nine major hubs (American: Dallas, Miami, Chicago, Los Angeles, New York; US Airways: Phoenix, Philadelphia, Charlotte).
The new American will be a member of the oneworld alliance, not the Star Alliance.
The merger will be subject to review and approval by U.S. regulators. That shouldn't be a problem since there is relatively little overlap between the two airlines' networks.
Reader Reality Check
Is the American-US Airways merger, with US Airways' chief Doug Parker in charge of the new company, good for the traveling public?
