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A bold merger proposal from United CEO Scott Kirby to President Donald Trump has left American Airlines’ CEO Robert Isom in the crosshairs, with analysts predicting the board may oust him in response to the potential industry shakeup.
Kirby reportedly lobbied Trump for his blessing on a merger that has fueled speculation that Isom is getting squeezed out.
“I suspect one of the outcomes will be that just this very suggestion is going to make the board of American and their unions turn around and say ‘get rid of Bob Isom,’” Michael Boyd, CEO of Boyd Group International, told FOX Business.
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Isom is already embroiled in a leadership crisis. In February, the Association of Professional Flight Attendants (APFA) issued a unanimous no-confidence vote in Isom, citing a “relentless downward spiral” in his leadership.
The Allied Pilots Association (APA) also published a blistering open letter stating their lack of confidence in American Airlines leadership.
Now, a reported meeting between Kirby and Trump in which the United CEO allegedly lobbied Trump for his blessing on a merger has fueled speculation that Isom is getting squeezed out.
“This is a proud airline… but it’s an airline now that’s been, quite frankly, non-managed. As a result of that, I think the very fact that a competitor would say, ‘oh, we’ll take you over,’ is going to send that board into a tizzy,” Boyd said.
American Airlines said in a statement on Friday that it is “not engaged with or interested in” merger discussions with United.
“While changes in the broader airline marketplace may be necessary, a combination with United would be negative for competition and for consumers, and therefore inconsistent with our understanding of the Administration’s philosophy toward the industry and principles of antitrust law,” the carrier said. “Our focus will remain on executing on our strategic objectives and positioning American to win for the long term.”
United Airlines told FOX Business, “We don’t have anything to share.”
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It also could be the masterstroke in a Kirby revenge tour after the United CEO was himself ousted as the president of American Airlines.
“This would be the ultimate comeuppance,” View From the Wing writer Gary Leff wrote.
Despite the palace intrigue, however, the scope and scale of a mega-merger have analysts doubting its feasibility.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| UAL | UNITED AIRLINES HOLDINGS INC. | 101.80 | +6.77 | +7.12% |
| AAL | AMERICAN AIRLINES GROUP INC. | 12.78 | +0.51 | +4.16% |
Getting through “the minefield of maintenance issues” alone could hold up the deal, Boyd said. “Remember a 787 at United is not the same as a 787 at American. The maintenance programs are different. The galleys are different. The cockpits may be different. Putting all that together is obscenely expensive.”
A potential deal could also face antitrust hurdles. “Fewer choices mean higher ticket prices, more fees, and fewer options for anyone who wants to get from point A to point B,” Ganesh Sitaraman, author of “Why Flying Is Miserable,” told Reuters.
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“It seems unlikely that industry rivals, consumer groups and antitrust authorities would simply go along with this,” aviation analyst Stephen Trent told Morningstar.
The proposed merger would combine the world’s two largest airline carriers by available seat kilometers (ASK), a metric provided by the Official Airline Guide (OAG).
The pair also constitute over a third of domestic market share with a combined $3 billion market cap. But their share of the global market pales in comparison to their U.S. dominance. The pair had just over 1 trillion ASK in 2025, which amounted to less than 10% of the 2025 global share of more than 11.5 ASK, according to data from OAG and the International Air Transport Association (IATA).
Transportation Secretary Sean Duffy had previously indicated that the sector had room for airline mergers, though added, “I am not going to pre-commit to anything.”
FOX Business contacted the Federal Trade Commission for comment but did not immediately receive a response.
