Thursday, Dec. 09, 2010

United Unites with Continental

The airline industry consolidated yet again in 2010. In a May, United and Continental announced a $3.2 billion hook-up to create the world's largest airline. When the integration is completed, the company will serve 378 airports with hubs in 10 cities. It will have 5,811 daily departures and an estimated 144 million passengers a year. The combination could also produce more than $30 billion in revenue a year, or nearly 50% more than its nearest competitor American Airlines. Despite the merged company's size, the deal flew through the approval process — such is the state of this beleaguered industry. The biggest point of contention seems to be about the logo. In late 2011 or 2012, the combined company will go by United but use Continental's golden globe as its logo. A campaign to save United's "tulip" has so far been unsuccessful.