Sen. Elizabeth Warren (D-Mass) has slammed United Airlines Holdings Inc. (NASDAQ:UAL) CEO Scott Kirby‘s comments about a possible merger with American Airlines Group Inc. (NASDAQ:AAL).
Consolidation Not Competition
In a post on X on Thursday, Warren shared her criticism of United’s proposed merger with American Airlines. “United Airlines’ CEO is pitching a mega-merger to swallow up American Airlines and create an airline twice the size of its nearest competitor,” she said in the post.
Warren called the move “consolidation” and said that it would cause consumers to “pay the price” with possible higher fares and more. “I'm pushing back,” she said.
Trump To Acquire Spirit?
President Donald Trump recently floated the idea of the White House purchasing struggling flight operator Spirit Aviation Holdings Inc. (OTC:FLYYQ). This comes as the White House is in talks to provide a $500 million rescue package for Spirit, which has been opposed by Warren.
Notably, Transportation Secretary Sean Duffy had earlier shared that Trump wasn’t opposed to mergers in the aviation sector, saying that the President “loved” big deals.
Fundamentally Flawed Business Model
Kirby, during United’s earnings call, shared his criticism of Spirit, lobbying against the Trump administration's looming rescue of the struggling airline. Kirby said that the airline’s “business model was fundamentally flawed” and that the “airline was not going to be able to make it or ever cover their cash operating costs.”
The airline reported first-quarter 2026 revenue of $14.61 billion, which beat market estimates of $14.34 billion. United also reported adjusted earnings of $1.19 per share, beating the analyst consensus of $1.10 per share.
According to Benzinga Edge Rankings, United offers satisfactory Momentum, but excellent Value. It provides a favorable price trend in the Long term.
Price Action: UAL declined 0.50% to $91.25 at market close on Thursday, further declining 0.11% to $91.15 during overnight trading.
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