US Airways 767-200. Courtesy, US
US Airways (US) continues to explore whether a merger with American Airlines (AA) would be a good move, but consolidation is not a strategic necessity, US chairman and CEO Doug Parker said Wednesday.
Parker described talks about a potential merger with AA, which is operating under Chapter 11 bankruptcy protection, as rumors and speculation (ATW Daily News, March 2).
“Industry consolidation has happened and so the result is that we have a much more rational industry now. So the strategic necessity to consolidate is not there anymore. US Airways does not need to merge. Our results prove that and we have a model that works in a consolidated industry,” Parker told media during a company briefing in Phoenix, Ariz.
“Having said that, it might make sense to do something. It could be in our best interests to have a bigger airline with stronger revenues and it could give us more stability. And because it might make sense, we are looking at it,” he said.