Warren Buffett. CNBCAmerican Airlines CEO Doug Parker spoke out about Warren Buffett's wager on the "Big Four" US airlines.Parker stated that Buffett sold them because of the pandemic's impact on the industry's volatility.Parker stated that American Airlines does not merit Buffett's support right now.Check out more stories from Insider's business page.Warren Buffett and his team made a bold investment in the "Big Four" US airlines back in 2016. They then dropped them in April 2020 due to the instability of the industry, American Airlines CEO Doug Parker stated on the New York Times' "Sway” podcast.Parker stated that Warren had made statements about how stupid it was to invest money in airlines over the years, and they were now investing again. It was a huge deal for them.Parker said that Ted Weschler was one of Buffett’s two portfolio managers at Berkshire Hathaway and gave him a heads up when Berkshire began buying stock in his company. Berkshire also bought approximately 10% of the other Big Four companies - Delta Air Lines and United Airlines.Buffett believed that passenger numbers would grow, share buybacks would continue and carriers would retain their value over the next ten years. His expectations were dashed by the pandemic that brought down travel and forced airlines to accept government bailouts. These included stock warrants, repayable loans and restrictions on dividends and buybacks.Parker stated that his industry was still volatile.American Airlines CEO seemed to admit that Berkshire's stock may not be the most secure asset to hold for the next 50-years. He said that he has the shareholders he deserves, but he didn't think he deserved them at this time. This was in reference to Buffett's famous statement that managers determine their investor base.Parker did not say that Buffett was wrong in selling the Big Four airline stocks. They have all rallied strongly over 16 months. He did note that "no one is right in every call."Kara Swisher, the host of "Sway," recalled Buffett's terrible prediction to her about the internet. He said that the internet was a fad.
