Competition and oil prices to impact British Airways future plans

Competition and oil prices to impact British Airways future plans

British Airways and Iberia’s holding company International Airlines Group (IAG) has revealed that increased competition and protests in the Middle East could prevent the airlines’ expansion plans. Willie Walsh, chief executive of IAG said the group was monitoring the political instability in the Middle East and its impact on fuel prices. Although oil prices have fallen back today, an increase would result in a fare rise. “Our longhaul business remains strong, particularly in the premium sector, but the shorthaul European market continues to be highly competitive,” IAG said in its inaugural results statement today. “We are monitoring the impact of the current Middle East instability on fuel prices and have the flexibility to change our capacity plans if necessary.” Meanwhile, the group’s first financial results showed a 13.4 percent increase in revenue to

Gary Marshall
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Gary Marshall
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