Coverage of the merger between American Airlines and US Airways

Hutchison Asks Airlines to Let AA Complete Bankrupty Before Merger Talk

Senator expresses concern over reports about takovers

Friday, Apr 13, 2012  |  Updated 6:29 PM CDT
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Sen. Hutchison Weighs in on AA Bankruptcy

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Senator Kay Bailey Hutchison weighed in on talk of a possible takeover of American Airlines.

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Sen. Hutchison Weighs in on AA Bankruptcy

Sen. Kay Bailey Hutchison is weighing in on talk of a possible takeover of American Airlines, while the airlines goes through bankruptcy reorganization.
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Sen. Kay Bailey Hutchison weighed in on talk of a possible takeover of American Airlines in a statement Friday.

Hutchison asked other airlines to let American Airlines complete its bankruptcy proceedings before pursuing possible mergers. In her statement, she said:

"I've seen the public reports about hostile takeovers involving American Airlines, including another airline that is communicating directly with American's creditors and unions. I'm concerned about the potential disruptive effects of such efforts during the ongoing bankruptcy proceedings, and ask that all airlines give American and the committee of creditors an opportunity to complete the bankruptcy reorganization process. Completing this essential step is in the best interests of American's employees, creditors, and the communities served by American Airlines. Any merger discussions can occur when the bankruptcy court has cleared the process by which American can emerge from court supervision."

Hutchison does not have any authority in the bankruptcy process.

A US Airways top executive recently confirmed to NBC 5 that the airline had hired advisers to monitor American's bankruptcy.

There have been many media reports about a possible takeover of American by US Airways, perhaps by Delta Airlines or other investors.

American Airlines CEO Tom Horton has said that his goal is to bring American out of bankruptcy as a stand-alone company.

NBC 5's Brian Curtis contributed to this report.

American Airlines Bankruptcy:
Find complete coverage of the American Airlines bankruptcy proceedings, expert analysis and impact to customers and the local economy in our special section. Click here for more.


American Airlines Merger:
Complete coverage of the merger between American Airlines and US Airways into the newly-formed Fort Worth-based company, American Airlines Group (AAL). Click here for more.

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