However, as was the case with the Air France-KLM merger in Europe, the airlines' brands would remain separate.

BBC: Brazilian airline TAM plans to merge with Chile's LAN

The two big mergers in Europe -- between Air France and KLM, and British Airways and Iberia -- had been accomplished through the creation of holding companies, allowing the respective airlines to operate independently and remain nationally-owned, he said.

CNN: STORY HIGHLIGHTS

The travel chaos rippled across Europe as many airlines, including Air France, Alitalia, Lufthansa, Iberia and Aer Lingus canceled flights to Heathrow.

NPR: U.K. Uncovers 'Advanced' Bomb Plot; U.S. Targeted

But the service, similar to what both Lufthansa and Air France have been doing for first-class customers at their biggest hubs in Europe, stands to rev up competition between airlines for top customers in the U.S. As much as 75% of airline revenue typically comes from 25% of passengers.

WSJ: The Tarmac Express: A Porsche to the Plane