U.S. Justice Department Approves United-Continental Merger

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Guam –  In Washington Friday, The US Justice Department approved the merger between United Airlines and its rival Continental Airlines. The merger creates the world’s largest airline.

In a statement, the Justice Department said it was satisfied that the airlines did not have so much overlap in their routes that consumers would be harmed by higher prices and limited flight choices.

The U.S. Justice Department approval comes one month after the European Commission gave it’s approval.

Read the Report in the Washington Post

The two airlines agreed to merge in May in an all-stock deal. But the companies’ shareholders still have to vote on the deal in separate meetings set for next month.

The new company’s corporate and operational headquarters will be in Chicago and it will maintain a significant presence in Houston, which will be the combined company’s largest hub.

Read the AFP Report

Under the agreement, the holding company for the new entity wil be named United Continental Holdings,  and the name of the airline will be United Airlines.