DOJ Signs Off on United-Continental Merger

The Antitrust Division agreed not to challenge the United-Continental merger when the merging airlines agreed to lease 18 pairs of takeoff and landing slots at Newark Liberty International Airport to discount carrier Southwest Airlines.  Aside from the concern about barrier to entry into Newark, which were alleviated by the leasing agreement, the Antitrust Division took the position that the merger was complementary and would benefit consumers.  Eight states and the District of Columbia, however, continue to have open invesitgations involving the merger.  Nevertheless, the parties stated an intent to close by October 1.

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