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British Airways and Iberia parent IAG  said its transatlantic joint venture with American Airlines would continue to operate as normal after AMR Corp, the carrier’s parent company, filed for bankruptcy protection.

“We have every confidence in the future of American Airlines. We are pleased they are taking this step which shows commitment and determination,” IAG, which has a joint venture with American Airlines on transatlantic routes, said in a statement on Tuesday.

source: Reuters.com

International Airlines Group (IAG) and Lufthansa Group reached an agreement for the sale of LH’s loss-making British Midland (bmi) to IAG. The purchase of bmi could increase IAG subsidiary British Airways’ share of slots at London Heathrow to 53%, although regulators most likely will require some slot divestments.

The companies did not detail whether the agreement is for the sale of the entirety of bmi or just the carrier’s mainline operation. Recently, bmi confirmed it was “‘in advanced discussion’” to sell bmi regional to a UK-based investor group “‘previously associated with the regional business,’” indicating its owner was negotiating to divest its loss-making UK subsidiary in parts. It is not clear what will happen with the company’s low-cost carrier, bmibaby.

source: atwonline.com

The board of Spanish airline Iberia is planning to establish a low cost airline to help improve the carrier’s profitability, however their plans could lead to industrial action.

Iberia who is owned by International Airlines Group (IAG) has plans to establish a budget carrier to take on short and medium-haul flights, the Financial Report reported.

The carrier’s performance is also being threatened by intense competition from Europe’s leading low cost airlines Ryanair and EasyJet.

source: etravelblackboard.com

International Airlines Group (IAG), the company formed from the merger of Iberia and British Airways, has hired US bank JP Morgan to advise on an offer for Portuguese airline TAP, according to reports in the British financial press.

The reports note that this agreement could help IAG improve earnings in expanding markets, as per plans outlined by company president Willie Walsh in an interview with a news agency in August.

source: sharecast.com

Travel rewards scheme ‘AirMiles‘ is being rebranded as ‘Avios‘ following the merger between British Airways and Iberia.

The loyalty schemes from both airlines will be amalgamated under parent company International Airline Group from November 16.

Users will be required to pay taxes, fees and charges on their flights. Charges will be capped at £27. Avios will continue to be run by BA subsidiary The Mileage Company.

source: travelweekly.co.uk

In future, Air Berlin and Iberia are offering selected flights under joint flight numbers.

The connection possibilities from and to Madrid will improve for Air Berlin passengers as a result of the agreement. Iberia in turn will benefit from the extensive domestic route network and the good connections to destinations in Germany and Scandinavia via the Air Berlin hub in Berlin.

In a further step, plans are underway to expand the codeshare agreement to the frequent flyer programs of both airlines, Air Berlin‘s topbonus as well as Iberia’s plus.

source: the FINANTIAL

Spanish airline Iberia has announced a new Mediterranean-themed food lineup, drawing on the experience of some of the country’s top chefs.

Emulating the top-notch German cuisine offered by Lufthansa and Air France’s gastronomic offering by Alain Ducasse, Iberia has invited a committee of culinary experts to come up with a new menu to be rolled out for business class passengers from June 1.

The chefs include Paco Roncero of Madrid’s La Terraza del Casino, Ramón Freixa, the head of Ramón Freixa Madrid, Caceres chef Toño Pérez of Atrio and Malaga’s Dani García, chef at Calima restaurant in Marbella.

Between them, the team have eight Michelin stars, leading Iberia to brand its planes “‘the first eight star restaurant in the world.'”

source: Independent.co.uk

The UK threatened to pull out of the trans-Atlantic Open Skies air travel agreement if the US government did not approve British Airways’ alliance with American Airlines, according to leaked cables revealed via WikiLeaks.

A British official also warned that Spain might see progress on extending the Open Skies agreement as “‘closely linked’” with the BA/AA alliance, which also includes Spanish flag carrier Iberia.

The warnings centred on discussions around the second stage of the Open Skies agreement, which involved relaxing restrictions on ownership of US airlines and on European carriers’ rights to fly within the US.

source: telegraph.co.uk

A 7.4%’ ‘rise in premium passengers helped boost the British Airways-Iberia holding company International Airlines Group (IAG) last month.

The first results issued since the merger between the two airlines showed a strong level of long-haul traffic. IAG said that the good level of premium traffic growth was partly due to weak year-on-year comparatives due to snow in January 2010.

source: travelweekly.co.uk

British Airways’ new parent company International Consolidated Airlines Group (IAG) enjoyed a quiet opening day’s trading on the stock markets of London and the linked exchanges of Madrid, Barcelona, Bilbao and Valencia on Monday.

Shares in IAG opened in the City at a price of 288.1p and closed at 287.19p after touching 289p. IAG shares in Spain finished the day at €3.31, broadly in line with the London price allowing for the exchange rate.

IAG chief executive Willie Walsh and chairman Antonio Vazquez were at the London Stock Exchange to watch trading open. Walsh said: “I’AG has a great future ahead of it. BA and Iberia are the first two airlines in IAG, but they won’t be the last. Today is the first step towards creating a multinational multi-brand airline group.’”

source: travelweekly.co.uk