Airlines that consolidate through mergers or acquisitions must reduce the number of planes in the sky and reduce competition in the industry, US Airways CEO Doug Parker said Thursday.
"Consolidation for consolidation sake is not necessarily a good thing," Parker told reporters at a media event at the carrier's Tempe, Arizona headquarters.
"To take two airlines and just put them together and not create efficiencies by flying to all the same places with fewer airplanes doesn't create the value you need," he said.
Parker didn't mention Delta Air Lines Inc. and Northwest Airlines Corp. specifically when talking about the need to cut capacity. But some industry observers have speculated that if Delta and Northwest combine, they might not cut a significant number of flights because their systems have little overlap.
US Airways Group Inc. was created in 2005 when the former US Airways combined with America West Airlines. Parker has previously said the move allowed management to cut 15 percent of flight capacity by cutting overlapping routes.
"You've got to go through and do what we did," he said.
While most analysts are watching Delta and Northwest to make a deal, Parker said all large carriers will have the opportunity to combine with other airlines.
"I think it makes a tremendous amount of sense," he said. "Hopefully we'll do it right instead of wrong."
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