American Airlines parent AMR is in advanced talks with China Eastern Airlines to bring it into the Oneworld alliance.
AMR chief financial officer Tom Horton told the Reuters Travel and Leisure Summit in New York that the company was making a big push in its alliance strategy and is also in advanced talks with a Brazilian carrier to join the global airline grouping which include British Airways.
That carrier is probably Gol Linheas Aereas Inteligentes SA, which entered a code-sharing agreement with American Airlines last year.
It is currently not part of an alliance, while its main rival and market leader Tam Linhas Aereas, is a member of the Star Alliance.
Gol was not immediately available for comment.
"There are some opportunities for cost savings, though not to the extent one might be able to achieve with a full merger," Horton told Reuters. "You can co-operate in areas such as procurement, co-locate at airports."
Horton declined to comment on whether the airline was open to a merger, but said consolidation would help the industry.
by Phil Davies
