| Journal: TWUK | Section: |
| Title: | Issue Date: 05/06/00 |
| Author: | Page Number: 23 |
| Copyright: Other |
Summer date
United looks to 2001 for USAirways merger
Report by PAUL NORRIS
UNITED Airlines and US Airways will merge their UK operations by next summer if imposing regulatory hurdles are surmounted in the next year (Travel Weekly May 29).United UK general manager Brandon O’Reilly said if all goes according to plan, the Chicago-based airline will have acquired US Airways by the second quarter of next year.
O’Reilly stressed there would be no UK job losses on either side when USAirways is brought into the United family.
However, details of what will happen with their UKsales forces and USAirways flights to Gatwick and Manchester have yet to be unveiled. “We will take over US Airways’ routes and network but will have to decide which is the best match for us,” he said.
United flies from Heathrow and would come up against regulatory restrictions if it took over Gatwick and Manchester flights.
US Airways secured rights from the two airports while it was a rival to United. Regulators would have to assess the impact on competition if routes are switched to United and there would be objections from British Airways and Virgin Atlantic. The European Commission and UK and US politicians are expected to hear objections while considering a new UK-US open-skies agreement. O’Reilly said: “There are regulatory hurdles to overcome but we are confident we can do that.”
In the UK, US Airways comes under vice-president international Mark Schwab, a former United executive. The airline employs a sizable team at its St James’ office in central London and has set up a new operation in Manchester to serve the new daily Philadelphia service.
A question mark hangs over whether they will be moved to United’s Heathrow UK head office.
O’ Reilly: confident that regulatory hurdles can be overcome
Estimated completion date: summer 2001.
Joint-UK routes: Heathrow-Chicago; Washington; New York JFK, Newark and Boston; Gatwick-Philadelphia, Pittsburgh and Charlotte; and Manchester-Philadelphia.