Iberia wants to cede up to 52% of routes offered by Air Europa in 2023 in order to get a ‘yes’ from Brussels When purchasing this airline, according to industry sources. With this approach, which was delivered last June 10IAG wants to avoid reluctance European Commission In the process.
Iberia’s proposals would not mean a reduction in capacity, however Ensure there are many competitors on all roads Hence, different options for travelers, according to the same sources. from IAG Group Company We consider that the union of the two main Spanish airlines is essential for the development of the Madrid hub at the level of those in Northern Europe, To improve Spain’s connectivity – especially towards Asia – and generate new opportunities for wealth and job creation in our country.
The European Commission set August 20 as a deadline to take a decision on the process. Although there is a possibility that there will be a new halt to the process (“stopping the clock”) or another extension, which is why the decision may be delayed.
Mandarin Iberia The presentation of his new plan in Brussels confirmed this The improvements in the proposal to improve competition arose from “constructive dialogue” with the Community CEO so that Air Europe would be bought “with all guarantees for consumers”.
The fear of the department headed by Margrethe Vestager, responsible for analyzing the process, is accumulating approx Five years of negotiationsis that the union of the two companies reduces competition on national routes, especially those where there is no alternative to high-speed trains, such as the Madrid-Bilbao or Madrid-Vigo lines, which only operate Iberia and Air Europa. for this reason, If Air Europa is merged into Iberia, IAG’s airline will monopolize these markets.
The same will happen in the case of short-haul routes between Madrid and Israel, Morocco, the United Kingdom and Switzerland, where both airlines offer a direct connection, and on long-haul routes between Madrid, North America and Italy. From the south, which BC“Facing competition from only a few competitors who have non-stop connectivity.”
To overcome this problem, Iberia pledged to eliminate more than 40% of Europe’s flights by 2023, in addition to flight schedules in the “highest demand” slots, and presented a list of six competitors (Avianca, Pinter, Aerojet, RyanairVolotea and World to Fly) which can accommodate these itineraries to avoid restricting competition. The offer has now been modified to try to convince Brussels to agree to the operation.
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