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British Airways-Qantas deal may create global airline

3 December 2008

British Airways is in merger talks with the Australian airline Qantas in a deal that could create the world’s first global airline.

BA has also been discussing a merger with Iberia, the Spanish national carrier, and hopes to expand its alliance with American Airlines. The combination of the four would create the largest airline in the world which would be capable of carrying 198 million passengers a year – nearly six times BA’s current traffic.

Historically, the aviation industry has been highly fragmented, with each country trying to operate its own flag carrier and guard against competition.

source: Times Online

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