UAL Corp.'s United Airlines and Continental Airlines Inc., the carriers that broke off merger talks last month, have revived talks about a possible alliance to help the companies to set pricing and schedules, according to media reports.

United is also currently involved in talks with US Airways Inc. Sources, who did not want to be identified, told Reuters that United will pick one of those choices or stay independent.

Although United's board of directors had a meeting on Thursday, no decision is expected, the sources said.

An alliance with U.S. antitrust immunity to collaborate on fares would provide most of the benefits of a merger. Continental has been evaluating options since Delta Air Lines Inc. and Northwest Airlines Corp., its partners in the SkyTeam alliance, agreed on April 14 to merge.

A string of merger talks have emerged and Delta Air Lines Inc and Northwest Airlines Corp said in April they planned to merge and become the world's largest airline. The airlines seek to counter rising fuel prices, a weakening economy and growing competition from European carriers as trade barriers fall on trans-Atlantic travel.

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