The Traderszone Network

Published in TZ Latest News 7 June, 2015 by The TZ Newswire Staff

American Airlines CEO cites capacity growth risks

Asked about investor concerns that capacity increases at U.S. airlines are starting to exceed growth in demand, Parker said, “the real question is, is this a one-time catch up for fuel prices being lower or is this airlines behaving like airlines used to and just increasing capacity because times are good. “I don’t know if we know the answer to that yet,” Parker said on the sidelines of an International Air Transport Association (IATA) global airlines conference in Miami. Industry consolidation has also reduced the forces that caused past capacity growth and price wars.