British Air Looking At Aa

[MiAAmi]

Reuters
BA would look at American again after any KLM deal
Sunday October 5, 8:24 am ET


LONDON, Oct 5 (Reuters) - British Airways Plc (London:BAY.L - News) said on Sunday it would look again at a long-sought merger plan with American Airlines (NYSE:AMR - News) if regulators cleared a takeover of Dutch carrier KLM (Amsterdam:KLM.AS - News) by Air France (Paris:AIRF.PA - News).
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"Is it something that we'd look at? I suppose it is," a BA spokesman said, but played down the idea that a revival of BA/AA tie-up negotiations would happen any time soon.

BA said last week regulators in Brussels should ensure an Air France-KLM deal did not reduce competition, especially across the North Atlantic -- lucrative routes for BA.

BA and American have had plans for a virtual merger on transatlantic routes blocked in the past by regulators demanding the two airlines give up hundreds of valuable takeoff and landing slots at London's Heathrow airport.

But the spokesman said BA's main focus at the moment was on its restructuring. Europe's biggest airline said on Friday it had not yet reached its target of 13,000 job cuts despite setting a September deadline.

Britain's Observer newspaper reported on Sunday that BA might revive merger talks with American if regulators approved a KLM-Air France deal.

BA said last week Spain's Iberia (Madrid:IBLA.MC - News) was its preferred partner in any European industry consolidation.

 

[s80dude]

well, they say third times the charm! it will be interesting to see if a megaopoly consisting of two EU carriers and 3 US carriers will be permitted to come together with no restrictions.

 

[wrx]

If this does happen, I wonder if Arpey and his 44 buddies would have their salaries cut? What a shame that would be. My heart bleeds for them...NOT!

 

[JFK777]

The British are trying to have a 21st century empire in the air. The odds any foreign entity will control British Airways is NONE. The odds BA will control AA is about none.


They are talking about code sharing a la KLM & Northwest between the USA and LHR. ONEWORLD needs this, now that AF & KLM and all their alliance partners are getting married, I can't see how the EC and Washington can say no.

 

[Cosmo]

It's really pretty simple. BA can benefit from limited U.S.-LHR competition or it can have its deal with American. It just can't have both.

 

[JFK777]

Limited competition on the US-LHR routes are going the way of the dinosuar. Virgin, British Midland and other US airlines will fly from LHR to the USA. Richard Branson and Sir Michael Bishop (BM) want more LHR to US routes, more competition is coming. It may be a few years away but Delta, Continental and UsAirways will see LHR. Now that Brussels is negociating landings rights for all Europe, thinga are changing.