EU clear BA-Iberia for take-off
Another step towards consolidation
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Jasper Kelly Sunday 18 July 2010 |
The ongoing story of the three-way merger / cooperation between British Airways, Iberia and American Airlines has received the expected approval from Europe's anti-competition body.
The decision clears the way for the two European airlines, which will operate over 400 aircraft flying to more than 200 destinations, to build a closer cooperation with the American carrier.
It seems that the Commission concluded that the merger would not significantly impede effective competition and, in particular, would not drive up prices on key routes such as London to Madrid.
BA boss Willie Walsh will become chief executive officer of the new holding company called International Airlines Group (IAG) which will incorporate the old BA and Iberia. The airlines will continue to trade under their old names but will be based in Madrid.
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Martin, Coventry 19 July 2010, 05:22PM | |
| I look forward to hearing Richard Branson's reaction to the anti-competition body's approval of this merger. | |
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Grant King, Essex 3 August 2010, 09:20AM | |
| If this happens, then BA will have too much control of the Heathrow landing and takeoff slots. I know that the US government and the EU Commission have agreed to it but I am worried that we have put too much power in one set of hands. | |
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