British Airways and Iberia merge

The world’s third largest airline by revenue was created by British Airways and Iberia. The creation of a new airline means the merger of two airline companies. It is expected that the amalgamation will be completed in late 2010. The new airline will have 419 aircrafts together with 205 destinations to fly.

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British Airways faces record losses

As the downturn in business travel continues, British Airways announces record losses and estimates it will need more time to recover that previously expected. The company is set to face a 252 million pound pre-tax loss for the first half of the 2009, making this the second consecutive year without any recorded profit.
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New Plan of Iberia to Cut Costs

Iberia decided to approve a strategy, called Plan 2012, the aim of the plan is to increase operating profile by €450 million. To fulfill the plan the company decided to cut costs and make efficient improvements. Rafael Sanchez-Lozano said that as the airline industry underwent a dramatic situation, it was decided to modify Iberia into a viable project. In the first half Iberia Group stated a consolidated dead loss of €165.4 million that could lead to a full-year deficit for the first time in 14 years.
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