Mergers

The proposed merger of Sirius Satellite Radio Inc. and XM Satellite Radio Holdings Inc. was opposed by four states that say the combination of the only two pay radio companies poses a threat to competition. Connecticut, Maryland, Ohio and Washington urged the Federal Communications Commission to reject the merger in a letter signed by the four states' attorneys general and posted on the FCC's website. The FCC is unlikely to take up the matter by the May 1 expiration of the companies' merger agreement, which has already been extended, said Paul Gallant, an analyst at Stanford Washington Research Group.

Consolidation talks between United Airlines and US Airways appear to have fallen apart, the New York Times reported late Tuesday, citing unnamed people with direct knowledge of the discussions. The board of United parent UAL Corp. and its chief executive, Glenn F. Tilton, raised questions about the arrangement in the last few days, according to three people the New York Times said had been briefed on the decision making. One person said senior executives at both airlines, as well as bankers and lawyers working toward a deal, had put it on "permanent hold."

The chief executives of UAL Corp.'s United Airlines and US Airways Group Inc. met to work through details of a possible merger as rising fuel prices add to pressure for a tie-up, people familiar with the talks said Thursday. United's Glenn Tilton and US Airways' Doug Parker focused on labor, financing, seating-capacity cuts and other issues that have slowed work on a combination, said the people, who asked not to be named because the meeting was private. The face-to-face session came more than two months after the talks began.

Allied Waste Industries Inc. and Republic Services Inc., the second- and third-largest U.S. trash haulers by sales, are in talks to merge in a proposed transaction worth $6.59 billion. Allied Waste shareholders would receive 0.45 shares of Republic Services common stock for each Allied Waste share, the companies said Friday. The combination would create a larger rival to Houston-based Waste Management Inc., the biggest trash hauler by sales.

Federal regulators appeared poised Wednesday to give final approval to the merger of the nation's only two satellite radio operators, which would bring together the two struggling companies after a 17-month quest. Deborah Taylor Tate, a Republican who held the swing vote on the five-member Federal Communications Commission, reportedly was ready to vote in favor of the $3.9-billion merger if Sirius Satellite Radio Inc. and XM Satellite Radio Holdings Inc. agreed to new conditions.

Sirius Satellite Radio Inc. and XM Satellite Radio Holdings Inc. agreed to pay $19.7 million to resolve outstanding violations involving some of their radios and transmitters, clearing what appeared to be the final obstacle to regulatory approval of their long-pending $3.9-billion merger, a top federal official said Thursday. "I'm optimistic that now we got this issue out of the way we can move forward with an approval," said Kevin J. Martin, chairman of the Federal Communications Commission.

British Airways said Tuesday it would merge with Iberia, Spain's national airline, as slower economies and higher fuel costs wipe out earnings. The airlines are in talks about an all-stock transaction that would create a new company with two fleets and a dual listing in London and Madrid, the companies said. The deal would be the largest in Europe since Air France acquired Dutch airline KLM for $826.9 million in 2003.

The stock market's woes this year are turning into a blessing of sorts for corporate America. As share prices have fallen, U.S. and foreign companies have seized on the opportunity to gobble up rivals. The latest case in point: Manhattan Beach-based sneaker seller Skechers USA Inc. on Wednesday offered to buy Heelys Inc., a maker of children's shoes with wheels, for $143 million. Eighteen months ago, Heelys' stock market value topped $1 billion. The day before, drugstore chain CVS Caremark Corp.

Delta Air Lines Inc. and Northwest Airlines Corp. shareholders gave the go-ahead Thursday to a combination that would create the world's biggest carrier, deciding that in their volatile industry they liked their chances better together than on their own. The stock-swap deal announced April 14 still requires Justice Department approval. One other potential hurdle is a federal lawsuit seeking to block the deal that is set for trial Nov. 5 in San Francisco.

General Motors Corp. and Chrysler are discussing possible alliances or a merger, after GM had previously discussed a working alliance with Ford Motor Co., according to two people familiar with the companies. A partnership between Ford and GM has been discarded for now, but Ford is exploring the possibility of the sale of part or all of its stake in Mazda Motor Corp., according to a third source.