Tennessee Reaches Agreement In US Airways-American Airlines Merger

Tuesday, November 12, 2013

Tennessee Attorney General Bob Cooper announced an agreement Tuesday in the State’s challenge to the proposed merger of US Airways and American Airlines. The settlement will require the New American Airlines to continue to serve each of Tennessee’s five major airports in Nashville, Memphis, Knoxville, Chattanooga and the Tri-Cities for five years. 

Since 2008, several other major airlines have merged including Delta and Northwest, United and Continental and Southwest and Airtran. Each of those mergers has resulted in reductions in seat capacity and in some cases a dramatic reduction of service such as in Memphis following the Delta and Northwest merger, said officials. This resulted fewer flying options and higher prices for Tennesseans.

“Today’s agreement should provide Tennesseans more opportunities to buy low-cost airline options,” Attorney General Cooper said. “It also opens the door to increased competition to smaller carriers, benefitting consumers and businesses.” 

As part of the agreement, US Airways and American commit to continue to offer service in Tennessee.  At issue for Tennesseans was divestiture of airline slots at Reagan National Airport and LaGuardia International Airport. The divestiture of 104 Reagan slots and 34 LaGuardia slots will allow lower-cost carriers such as Jet Blue and Southwest to bid for the slots. Without divestiture, the New American Airlines would have controlled 69 percent of the slots at Reagan. 

The U.S. Department of Justice and the States also signed off on a related proposed final judgment that will remain in place for 10 years.  That judgment requires the divestiture of flight slots at Reagan National in Washington, DC, LaGuardia in New York City and of gates at Boston, Chicago, Dallas-Love Field and Los Angeles International. The divestitures of flight slots will enable new carriers to enter the Washington and New York markets.  Divestitures of gates should enable new carriers to enter the other affected markets.

The States and DOJ filed the action on Aug. 13 and a trial was scheduled to begin on Nov. 25. Tennessee was joined by the States of Arizona, the District of Columbia, Florida, Michigan, Pennsylvania and Virginia.


Sound Living Counseling Celebrates Grand Opening Aug. 30

Sound Living Counseling will celebrate its Open House and Dedication with ribbon cutting ceremony on Aug. 30 from  11:30 a.m. –4 p.m.  The Chattanooga Area Chamber of Commerce will coordinate this event, taking place at 6727 Heritage Business Court, Suite 720. Sound Living Counseling is a center expanding to serve the needs of people in the community. The mission ... (click for more)

UNUM Hosts Back To School Bash For Chambliss Children

UNUM hosted its annual Back to School Bash for the school-aged children spending the summer at Chambliss Center for Children.   This year more than 175 UNUM employees came out to host a special day on our campus that included inflatables, games, a petting zoo, snow cones, face painting, hot dogs, burgers and more. They also stuffed 125 backpacks full of the required ... (click for more)

Nashville Man Arrested By TBI For Trafficking 12-Year-Old Texas Girl For Sex

Special Agents in the Tennessee Bureau of Investigation’s Human Trafficking Unit, working alongside local and federal partners, have arrested and charged a Nashville man accused of trafficking a 12-year-old from Texas for the purposes of commercial sex. On Friday evening, the TBI received information from the U.S. Marshals Service about the possible whereabouts of a Texas ... (click for more)

Michael Ford Sentenced To More Than 13 Years In Prison On Drug Charges

Michael Shawn Ford has been sentenced to 13 and a half years in prison on drug charges. On April 20, 2105, Ford was arrested at his house in East Ridge. Police found him hiding in the closet with a laundry bag which contained a loaded pistol and 7.9 grams of crystal meth. Officers said that two backpacks were found in the same bedroom, one with 257.3 grams of crystal meth ... (click for more)

Olympic Events On The Ocoee River Made History – But It Wasn’t Easy

It started with a simple “what if” question while Atlanta officials were working on a bid to host the 1996 Summer Olympic Games.  A group of amateur kayakers from the city began asking themselves: “What if Atlanta’s bid is successful? Then where would the Olympic whitewater canoe and kayak races be held?”  To some of the members of that group, the answer was obvious. ... (click for more)

Roy Exum: Don’t Kick A Man’s Neck

From the minute my brothers and I each became cognizant, my dad started teaching us the rules of becoming a man. Dad was from deep in Mississippi and he’d been taught a lot of life’s secrets from his father. These lessons have been passed for generations and, the older I have become, I’m convinced a lot of them were borne from The Sermon on the Mount. Our favorite, back in the ... (click for more)