Two major commercial airlines—United and Continental—announced on Monday that they are merging to form the world’s biggest air carrier, which is to be called (drum roll) ... United Airlines. But in a super-creative twist, the newly rebranded fleet will sport Continental’s colors while taking United’s name. A modern marriage, to be sure. —KA
After the deal was announced shares of both firms rose in morning trading in New York.
United’s parent UAL Corporation saw its shares rise by 62 cents, or 2.9% to $22.22, while Continental shares were up 63 cents, or 2.8%, to $22.98.
Although United is seen as the dominant partner, the merger was described as “a merger of equals”.
Together United and Continental currently fly to 370 destinations worldwide, flying 144 million passengers a year.