American Airlines (AA) and US Airways have agreed a deal with US regulators which gives the green light to their merger.
Part of the agreement will see the airlines give up slots at some US airports.

Tom Horton, chairman, president and CEO of AA and incoming chairman of the board of the combined company, said: “This is an important day for our customers, our people and our financial stakeholders. This agreement allows us to take the final steps in creating the new American Airlines.”

The decision has been welcomed by IAG Group: “We are delighted that US Airways and AA can move forward with their merger plans,” said a spokesman.

“Bringing together the combined strengths of AA and US Airways, in terms of customers, network and product would bring benefits to both our transatlantic joint business and oneworld.”