Now Boarding: United merges with Continental

The news is out: United Airlines is buying out Continental Airlines, a $3 billion merger that will make United the world’s biggest airline.

As long as the merger wins approval from the Justice Department’s anti-trust department, the merged airline will be headquartered out of Chicago (United’s current headquarters and major hub).

What does this mean to passengers? Well, it looks like airlines keep swallowing each other up until there is just one giant airline…  and Southwest. This news come only months after Delta took over Northwest Airlines. Of course, the government would never allow this to happen, but what it will mean is fewer seats and higher ticket prices. Likely your frequent flier miles will also be moved to United, which is good for people like me because I rarely fly Continental unless I really want to be in New Jersey. United will take over Continental’s main hub of Newark Airport, as well as all the other cities it services. For the areas they overlap is where service will be cut – at the expense of passengers.

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