(NEW YORK) -- It's official: American Airlines and US Airways have reached an agreement to become the world's largest airline.
In a statement Thursday, both carriers announced that their boards of directors "have unanimously approved a definitive merger agreement under which the companies will combine to create a premier global carrier, which will have an implied combined equity value of approximately $11 billion."
The combined carrier will operate under the American Airlines name and will be based in Fort Worth, Texas, the headquarters of American. US Airways CEO Doug Parker will head the new company.
The new airline is expected to maintain all hubs served by American and US Airways and will offer "more than 6,700 daily flights to 336 destinations in 56 countries."
The merger is expected to be finalized by the third quarter of this year.
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