- Europe Shares Seen Dropping on Spain Worries
- ECB Rejects Madrid Plan to Boost Troubled Bankia
- More Trump Birther Remarks Overshadow Romney
- Madrid in ‘Game of Chicken’ With European Union
- Sun to Set on Commodities Super-Cycle: Strategist
- Most Aid Sent to Athens Circles Right Back to Europe
- Crisis-Battered Greek Banks Set for Weak Quarter
- The Upside to Asian Stock Declines? Better Dividends
- Detroit: From Urban Blight to Tech Might
- Apple CEO: Ping Failed, TV Gaming Interesting
- Why It’s Suddenly Exciting to Be a Yahoo Shareholder Again
- PB&J, Mac & Cheese Step Out From Kids-Fare Shadow
- Ackman: JCPenney Sales Have Hit 'Bottom'
- Goldman Investment Shines Light on Solar Power
- Facebook Options Soar on First Day
- Home Prices Hit Lows, But 'We See Signs of Hope'
- Auto Sales to Really Take Off This Summer?
- JPMorgan Debacle Points to Regulatory Incompetence, Corruption
MOST SHARED
- Sun to Set on Commodities Super-Cycle: Morgan Stanley
- Apple CEO: Ping Failed, TV Gaming Interesting
- Declines in Asian Bank, Property Stocks Yield Rich Dividends
- Asia’s Message to Europe: Bite the Bullet and Implement Reforms
- China's Sany Heavy to Raise $2 Billion in HK IPO
- Thaksin’s Return to Thailand Would Cause Conflict: Former Premier
- JPMorgan Implicated in Japan's Insider Trading Probe
- JPMorgan Dips into Cookie Jar to Offset "London Whale" Losses
- Home Prices Hit Lows, But 'We See Signs of Hope'
- Detroit: From Urban Blight to Tech Might
MOST POPULAR
HOT ON FACEBOOK
Lufthansa Sells British Unit to IAG
Text Size 
Staff Writer, CNBC.com
German airline Lufthansa has sold its British unit BMI for 172.5 million pounds ($271 million) to International Airlines Group (IAG), the holding company for the merged British Airways and Iberia.
 |
It follows a battle for loss-making BMI with rival airline Virgin Atlantic, which entered talks with Lufthansa earlier this month.
This will mean that IAG [IAG-GB
Loading...
()
] will gain more than 50 new landing slots at Heathrow, the world’s third busiest airport.
Willie Walsh, IAG chief executive, confirmed that there will be some job losses at BMI following the purchase. IAG does not plan to use the divisions bmi regional and bmibaby, so
Lufthansa [LHA-DE
Loading...
()
] has the option to sell off either before completing the deal.
Walsh said: "Buying bmi's mainline business gives IAG a unique opportunity to grow at Heathrow, one of our key hub airports.
"Given the scale of bmi's losses, there is an urgent need to restructure the business. Unfortunately, this will mean some job losses.”
The deal should complete in the first quarter of 2012, subject to clearance from competition authorities.
- The economy is relatively resilient but there are some decisions that could hurt, says this analyst.
- To escape taxes or political uncertainty, millionaires and billionaires are migrating like never before.
- Some places are kinder than others when it comes to selling homes, as these cities seem to be.
- Here are the 15 publicly traded stocks, by value, that are the biggest holdings of Berkshire Hathaway.
- Some restaurants are taking kid favorites like peanut butter and jelly and turning them into adult fare.
- What we have here are the 10 richest counties in America, according to the average income.
Data is a real-time snapshot *Data is delayed at least 15 minutes
