IAG to close loss-making bmibaby & regional if no buyer: Reuters

Posted: April 25, 2012 in Airlines, Aviation & Airports (General News), Europe, Heathrow
Tags: , , , , , , ,

[Reuters] British Airways and Iberia owner IAG will close two loss-making subsidiaries inherited from the acquisition of Lufthansa’s UK unit Bmi if it is unable to sell them, IAG’s chief executive Willie Walsh said on today.

IAG is struggling to sell the low-cost and regional divisions bmibaby and regional

IAG is struggling to sell the low-cost and regional divisions bmibaby and regional

IAG last year agreed a 172.5 million pounds deal to buy bmi and plans to keep the traditional airline, but is struggling to sell the low-cost and regional divisions bmibaby and regional.

“We are in discussions with parties interested in those airlines. We are ready to do a deal and capable of doing so, but if we don’t see any movement on selling them… then we will look to close those businesses,” Walsh said.

“They do not form part of the future of IAG,” he told the AFCA aircraft finance conference in Barcelona……

Read the full story at Reuters….


Reporting by Tim Hepher
Reuters – 25th April 2012


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