Transportation
American Air Wants More Credit Card Revenue From Partners
- Carrier says it’s in co-branded card talks with Barclays, Citi
- Card revenue increasingly important to US airlines’ earnings
American Airlines planes at Los Angeles International Airport.
Photographer: Daniel Slim/AFP/Getty ImagesThis article is for subscribers only.
American Airlines Group Inc. is renegotiating its current contract for co-branded credit cards to boost its share of a crucial source of revenue for US carriers.
The carrier is in talks with current card partners Citigroup Inc. and Barclays Plc, American Chief Commercial Officer Vasu Raja said Monday at an investor day in New York. The airline will seek “a bank that can create the largest branded credit card” and an agreement that would increase revenue from cards to 10% from 2023 to 2026 from 7% in 2019-2023, he said.