Olympic Air boss Thanos Pascalis has warned that the airline may struggle to survive if the EU does not ratify its proposed merger with fellow Greek carrier Aegean Airlines early next year.
Speaking to delegates at the Future of Air Transport 2010 conference in London (November 29), the chief operating officer said: "Having two full-service airlines in Greece is not sustainable. The only solution is consolidation.”
Thanos blamed the Greek airline sector's recent demise on the global recession and debt-crisis that has hit the southern European economies.
He said competition from the low cost carriers on key routes was also stifling business.
Olympic and Aegean agreed to merge earlier this year, and the EU is scheduled to make a decision on whether or not to approve the deal on January 12.
Thanos said the international network of the two airlines is unlikely to pose a problem, but the pair’s extensive domestic networks may be a “monopolistic issue”.