US Airways shares rise after JetBlue CEO comments

AP News
Posted: Aug 21, 2012 2:32 PM
US Airways shares rise after JetBlue CEO comments

NEW YORK (AP) — Shares of US Airways Group Inc. rose on Tuesday after a signal that it may have one less airline to compete with if it wants to merge with American Airlines.

American is reorganizing under bankruptcy protection and has said it will look at merger options. US Airways has been public about wanting to be at the top of the list, but there has been speculation about other possible partners, too, including JetBlue Airways Corp.

On Tuesday, though, Bloomberg reported that JetBlue Airways Corp. CEO Dave Barger had said "We're not interested" in getting the non-disclosure agreement from American, which would be the first step toward exploring a possible merger. Barger has made similar comments in the past.

JetBlue has had a partnership with American, and might have been one of US Airways' chief rivals for a merger.

Shares of Tempe, Ariz.-based US Airways rose 67 cents, or 6.3 percent, to $11.26 in afternoon trading. Other airline shares rose, too, although the biggest gain was for Delta Air Lines Inc., up 20 cents, or 2.2 percent, to $9.66.

JetBlue shares gave up early gains to dip a penny, to $5.26.

Airline stocks had a good day on Monday, too, after news that Southwest Airlines Co. was raising fares.