In Troubled Times, Airlines Turn to Each Other

Over the decades, the US airline business has undergone what feels like an endless series of takeovers, leaving the market with just four major carriers. Now, United Airlines’ boss is considering a bid for American Airlines, which would cut that to just three. Bloomberg News aviation reporter Siddharth Philip has the details. Plus: Why US oil producers are uncomfortable with the Iran war, and how to succeed in your first job (free link). If this newsletter was forwarded to you, click here to sign up.

For decades, global crises—particularly those affecting energy—have been a catalyst for consolidation in the US airline industry. The recession in the early 1980s, coupled with deregulation, spurred Texas Air to combine with Continental and accelerated Northwest’s merger with Republic. The Sept. 11 terrorist attacks helped drive TWA out of business and prompted US Airways to buy America West. And with the industry limping around the time of the global financial crisis, Delta bought Northwest, United took over Continental, and Southwest grabbed AirTran. Now, with oil prices soaring because of the war in Iran and the closure of the Strait of Hormuz, United Airlines Chief Executive Officer Scott Kirby is eyeing a megadeal that would reshape the aviation industry not just in the US, but globally.