BA-Iberia merger 'not imminent'

Shortly after Sky News announced on Wednesday that the deal between British Airways and Iberia was imminent, an industry source has denied the claim.

The unnamed source said: "The talks are still going on and there is no imminent announcement scheduled."

Cheapflights reported the story back in March after a report in The Times also confirmed that the merger was ‘imminent’.

According to a BA spokeswoman who told Reuters that a decision had not been taken yet but "talks continue between British Airways and Iberia with a view to a merger."

She added: "No decisions have been taken and, at this time, there can be no guarantee that a transaction will be forthcoming.

A further announcement will be made in due course, if appropriate." Willie Walsh, BA's chief executive, also said recently that the merger would likely come "in the very near future".

Merger talks have been ongoing since July 2008 with the main objective being to improve the financial strength of the two airlines.

© Cheapflights Ltd