Investors bet on further consolidation in the airline industry

09/28/2010 | Wall Street Journal, The

Wall Street reacted enthusiastically to Southwest Airlines' announcement that it would buy rival AirTran Airways, with traders bidding up options on American Airlines and US Airways, two carriers frequently mentioned as potential merger partners. The Southwest announcement "has fueled speculation that further consolidation could be coming to the industry," said analyst Patrick Mortimer.

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Wall Street Journal, The

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