Spirit Airlines has bought American Airlines and will merge with Southwest Airlines as part of a $1.1 billion merger that is expected to close in 2019.
The two companies will be known as American Airlines Eshopping and Southwest Airlines Ehopping.
American Airlines will be a standalone airline, while Southwest will merge into Spirit’s parent company, Continental Holdings Inc. The transaction will take place in 2019 and is expected soon after.
The new company will offer flights to over 50 destinations and is scheduled to begin operations in 2019, the airline said in a statement.
Spirit has been a pioneer in the travel industry.
In addition to American, the merged companies will also offer flights through its Spirit Airlines subsidiary, which also operates flights to New York, Los Angeles, Atlanta, San Francisco, and Denver.
Spirit also owns American Airline, which is based in San Francisco.
Spirit has a global network of over 1,500 routes.
With this merger, Spirit is entering a new era for the industry.
This is the first time the airlines that are a part of the same group will be able to operate together in one company.
The merger is expected be completed by the end of 2019.
American will offer regional flights from New York to Los Angeles and vice versa.
The merged companies are expected to continue to offer regional services through their own subsidiaries.
American is a major player in the United States, with flights to destinations such as Los Angeles.
Stripes, a major American airline, has been an American subsidiary for decades.
American Airways was founded in 1903 and merged with Southwest in 1999.