British Airways and Iberia to merge

[NM]

BA, Iberia reach merger MOU; BA to control 55%, Walsh to be CEO

From ATW Daily News:

British Airways and Iberia yesterday agreed to a "binding" MOU to merge under a single holding company that will be 55% controlled by BA shareholders and led by BA CEO Willie Walsh, paving the way for establishment of a third major European airline company by the end of 2010 that would have annual revenue of about €15 billion ($22.5 billion), a fleet of 419 aircraft and a route network comprising 205 destinations.

 

[NM]

Iberia swings to $24.5 million loss

From ATW Daily News:

In an announcement that highlighted the reasons it agreed to merge with British Airways, Iberia Friday reported a €16.4 million ($24.5 million) third-quarter loss that represented a reversal from the €304 million profit earned in the year-ago period.

 

[Voyages]

So the International Airlines group was born... I didn't quite like the name though.

British Airways and the Spanish airline Iberia have signed a merger deal, creating one of the world's biggest airline groups.

British Airways, Iberia sign merger deal - ABC News (Australian Broadcasting Corporation)

 

[samh004]

I love Michael O’Leary’s quote!

"It's a bit like two drunks staggering home from the pub, holding, propping each other up so they don't fall down," he said.

It’s a shame someone already has the acronym IAG, you’d have thought they could have picked one not already taken. Then again, as BA and IB remain separate anyway, it’s not going to be important for the time being.