United Airlines has no current plans to pursue a large-scale merger following American Airlines’ rejection, but remains interested in acquiring airport slots, gates, or other assets from weaker competitors pressured by rising fuel prices. United CEO Scott Kirby made these remarks during the International Air Transport Association’s annual meeting in Rio de Janeiro.
Kirby confirmed that American Airlines declined to engage in merger talks when he approached them earlier this year, despite his belief that a combination would have been beneficial for consumers. He emphasized that such a complex deal could only succeed with cooperation from American’s management, which publicly opposed the idea on grounds of anti-competitiveness. The CEO stated that labor groups, shareholders, and customers were generally supportive from United’s perspective, but American’s public stance rendered the deal impractical.
When questioned about the possibility of revisiting a merger with American in the future, Kirby said any such move would require “a willing partner.” He also dismissed reports alleging that United discussed granting the U.S. government a golden share in any merger proposal, calling those claims inaccurate.
The airline industry is currently grappling with rising fuel prices that are squeezing margins, creating a sharp divide between dominant carriers with strong brand loyalty and smaller rivals who primarily compete on price. Kirby explained that United expects to recover fully from the increased fuel cost impact later this year through higher fares, which so far have not severely dampened demand. While he acknowledged that ticket price increases may eventually influence customer behavior, United’s confidence remains strong.
Addressing industry criticism that major U.S. airlines are stifling competition, Kirby argued that carriers like United and Delta succeed not through dominance but by investing in technology, service quality, and reliability—factors customers increasingly prioritize over price alone. This positioning, he said, differentiates them from airlines struggling to compete solely on cost.