No merger? Less money for the millionaires? Better for the 99%? Nah.

In a surprising move, the US government claims to be looking out for fliers as it sues to block the American + US Airways merger. This is unwelcome news to investors, of course, and stock prices are down.

It seems the airlines had been boasting to investors about how the bigger airline could charge more for tickets and more fees. That bragging drove stock prices up, but it also provided the government with lots of ammunition for their anti-trust lawsuit.

“Daniel McKenzie, an analyst for Buckingham Research Group, said the merger went from a 99-percent probability to around 50 percent.” I think that the Airlines (for once since they usually lie) are not lying; I think prices would go up if there were a merger. I’m generally not a fan when the rich would get richer and real people would pay more to fly so I hope there is no merger. Then again, I expect the big companies to have their way.

Filed Under: Travel stocks & business

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