(New York, NY) -- The merger between American Airlines and US Airways is clear for takeoff. A federal judge is allowing American Airlines' parent company AMR to exit bankruptcy proceedings. That clears the way for a merger that would result in the world's largest air carrier.

The Department of Justice challenged the merger, saying it would give American an unfair advantage. That was cleared up with an agreement that required American to sacrifice gates at major airports.

The new company will keep the American Airlines name and its headquarters in Dallas-Fort Worth.