IAG International Airlines Group plans to offload up to 40pc of Air Europa’s frequencies in 2023 to competitors in order to secure European Commission approval for its acquisition of the carrier through Iberia.
The group’s chief executive, Luis Gallego, stated that no route will be exclusively operated by Air Europa and Iberia, emphasizing the need to enhance competition.
Airlines such as Plus Ultra Líneas Aéreas, Volotea, and Ryanair have expressed interest in acquiring the slots and frequencies vacated by Air Europa and Iberia.
The European Commission has until July 15 to announce its decision on the merger review and has been investigating potential competition concerns in the Spanish market. IAG is prepared to wet lease Air Europa’s fleet and crews if necessary or use them for projected growth within the group.
Luis Gallego said IAG remains interested in acquiring TAP Air Portugal although the acquisition of Air Europa remains the priority. “Looking to TAP will depend on the conditions. That company operates in markets where IAG does not have a sizeable presence, like Brazil, and would be an opportunity to create a dual hub structure in southern Europe [at Madrid Barajas and Lisbon]like the one we have in London Heathrow and Dublin.”
