BA and Iberia talk merger

Date: 12/11/2009

British Airways and Iberia are both meeting with their boards today to discuss a potential merger between the airlines.

An early morning statement by BA was sent out and stated: "BA confirms that British Airways and Iberia boards are holding separate meetings today, 12 Novmeber, to consider a potential transaction."

Iberia, however, has announced they decided they would still like to merge with the UK airline.

BA noted that the meetings did not guarantee a merger and no decisions to that end have been made, though the company already owns a 13 per cent stake in the Spanish airline.

Talks about a potential merger between the airlines have been stalled since they began in July 2008, as the industry suffered thanks to passenger and cargo numbers falling in the global recession.
Meanwhile, a BA-Iberia merger would mean the group would become Europe's third-largest aviation group.