JetBlue Airways CEO says American Airlines bankruptcy part of aviation industry ‘evolution’

David Berger, CEO of JetBlue Airways, recently expressed his views on the bankruptcy of fellow carrier American Airlines saying that this was a part of an ‘evolution’ of the aviation industry as well as good for the airline.

Berger was speaking to mediapersons in response to American Airlines filing for bankruptcy in November 2011 and rumors of other airlines trying to buy it.

He said that the bankruptcy move was in fact more of an evolution of the industry which has been consolidating over time.

He wondered whether this bankruptcy, in fact, meant even more consolidation in future. He said that during situations like the one being current faced by American Airlines, there will be a lot of rumors which need to be taken in stride. Berger further said that filing of bankruptcy by the airline will be good for the landscape, and also good for the overall aviation industry.  

He also said that other larger airlines should take cue from American Airlines and see this as a perfect opportunity for right sizing the capacity, which is posing problems now in the United States.  

American Airlines earned more than $11 billion in 2011, but lost $382 million during the year, according to the Department of Transportation's Bureau of Transportation Statistics.