13 January 2009

Spanish Fly Anyone?

Consolidation comes to Spain.

The formula which is somewhat complex is.. Vueling + Clickair = Nueva Vueling which then becomes IB2 or Iberia’s LCC.
The EU has approved the merger on certain undertakings from Iberia. Which will mean that there is open access to the Spanish Market (if such a thing really exists).
Iberia will in time assume control of the airline once the merger has taken place. Effectively this closes the market for the mainline markets. Of course the incursions by LCC giants Ryanair, Easyjet and even (in Palma) Air Berlin will continue. Anyone want to buy Spanair? This is a limited time option before the carrier either finds a new way to operate or it may itself be swallowed into the Nueva Vueling combine. And then of course there is the BAABI story....

Cheers

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