CHICAGO — United Airlines scrapped its latest attempt to combine with US Airways and create the world's largest carrier, formally backing away yesterday from a deal that likely would have meant fewer routes and higher ticket prices.

Now the question for those and other U.S. airlines is how to get by and make money with oil prices near $130 a barrel.

The CEOs of the two airlines told their employees in separate messages that a combination is off "for now," and US Airways' Doug Parker indicated an agreement is unlikely for at least the rest of this year. They had spent months exploring a deal that would have enabled the carriers to shed costs — likely paring employees, trimming overlapping operations in Washington, D.C., and parts of the western U.S. and eliminating competing flights.

But the attempt was hamstrung by tightening credit markets and the airlines' dimming financial outlook, which has dried up cash and made them less attractive to banks that could provide capital.

Consumers may benefit from more choices for the time being, but the airline industry's deterioration is no cause for celebration.

"The more competition we have and the more pricing decisions by CEOs we have, the better for consumers," said Tom Parsons, chief executive of travel Web site www.Bestfares.com. "It's still coming down to the bottom line, though: Can any one of these airlines survive in this era?"

UAL Corp.'s United, the second-largest U.S. airline, and CEO Glenn Tilton have been strong advocates for consolidation within the industry. But Tilton was unable to work out a deal with Continental Airlines Inc. after Delta Air Lines Inc. and Northwest Airlines agreed to pair up in April. He told Parker on Thursday that he was walking away from a chance to hook up with No. 7 US Airways Group Inc. Stumbling blocks are thought to have included financing, integration and labor obstacles.