US Airways Said to Pursue Frequent-Flyer Deal with Barclaycard

US Airways Group Inc. may sell frequent-flier miles to Barclaycard, the main issuer of its co-branded credit card.

Derek Kerr, chief financial officer of the Tempe, Ariz., carrier, told The Wall Street Journal today that the deal is on the table.

A spokesman for the U.S. credit-card unit of British financial-services company Barclays PLC, declined to comment.

The Journal article tracks the negotiation details of several frequent-flyer arrangements between card issuers and airlines. The article implies that the airlines hold sway — albeit less than in the past — in these negotiations. But I think there could be more leverage available to card issuers for two reasons:

1) Oil Prices. While oil prices have come down to the $106 level, they are still historically high and the summer saw less travel among consumers. That means airlines need more flyers.

2) Card Usage. The ubiquity of credit cards continues to grow. As of 2007, around 14% of Americans held more than 10 cards, according to Experian. A down economy should push credit card usage up.