AA-US Air merger close to completion

Reports are emerging that the merger between AMR Corporation, parent of American Airlines, and US Airways has been approved by AMR’s board. As reported her earlier this week, the transaction will give 72% of the new merged company to AMR’s creditors and US Airways the remainder – although AA shareholders will receive close to nothing. Doug Parker, US Airways’ chief executive, is earmarked to be chief executive of the newly merged company, with Tom Horton, AMR’s chief executive, as non-executive chairman. A deal could be announced as early as today.