TLDR
- United Airlines CEO Scott Kirby pitched a potential merger with American Airlines to President Trump in late February.
- American Airlines (AAL) jumped over 4% in premarket trading; United Airlines (UAL) rose about 2%.
- The meeting took place on February 25 during a White House discussion about Dulles airport.
- A combined airline would be the largest U.S. carrier, surpassing Delta.
- Industry officials and antitrust lawyers say regulatory approval would be very difficult to obtain.
United Airlines CEO Scott Kirby raised the idea of merging with American Airlines during a White House meeting with President Trump on February 25, according to two sources cited by Reuters. Bloomberg also reported the story.
The meeting was originally scheduled to discuss the future of Dulles airport. Kirby used the opportunity to pitch the merger concept toward the end of that session.
United Airlines Holdings, Inc., UAL
American Airlines (AAL) stock jumped more than 4% in early premarket trading Tuesday. United Airlines (UAL) climbed around 2%.
Neither airline has confirmed the reports. United and American both declined to comment, and the White House did not respond to requests.
Kirby argued that a combined airline would be a stronger competitor in international markets. He also pointed to the fact that two-thirds of long-haul U.S. seats are operated by foreign carriers, even though 60% of passengers are American citizens.
Regulatory Hurdles Loom Large
Despite the market reaction, the path to any deal is far from clear. Industry officials say approval would be very hard to get, citing likely opposition from unions, rival airlines, lawmakers, and airports.
Antitrust lawyer Seth Bloom said the deal would struggle to clear regulatory hurdles even under the Trump administration. “The administration has said it really cares about the issues that affect the consumer’s pocketbook, and this would give the airlines more pricing power,” Bloom said.
One person close to the White House also expressed skepticism, noting concerns about competition and ticket prices ahead of the November midterm elections.
U.S. Transportation Secretary Sean Duffy said earlier this month there is room for consolidation, but warned any deal would face close scrutiny.
American’s Financial Position
American carries roughly $25 billion in long-term debt, more than its larger rivals. Its market value sits at about $7 billion, compared to $31 billion for United and $44 billion for Delta.
The airline has been under pressure to improve profitability after its pilots’ union criticized management over lagging returns. “We have been very open about our concerns regarding American’s financial, operational and customer service underperformance,” said Dennis Tajer, a spokesman for American’s pilots’ union.
United and American are the world’s two largest airlines by available seat capacity, according to 2025 OAG data. Both operate fleets of more than 1,000 aircraft.
A merger would mark the biggest consolidation in the U.S. airline industry in over a decade. The domestic market is already dominated by four carriers â American, Delta, United, and Southwest â each holding roughly 17% of traffic.
Kirby served as American’s president from 2013 to 2016, though he has previously played down the appeal of large acquisitions.
It remains unclear whether United has made any formal approach to American or whether any process is currently underway.
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