BA-Iberia, marriage of convenience

British Airways (BA) and Iberia have finally said "I do". "The years of flirtation and 16 months’ engagement were necessary" for the two airlines to negotiate their nuptials, writes Público. On 12 November they signed a “letter of intent” to merge and create the world’s fourth-biggest airline – and Europe’s second (after Lufthansa) in capitalisation terms. BA will control 55%, Iberia 45%, of TopCo, as the new airline has been christened for the time being; its financial headquarters will be in London, its registered office in Madrid, and the two brands will be retained. "An inevitable merger",says El País, “corresponding to the ineluctable logic of commercial aviation”, a sector that is currently in the throes of "rising operating costs and falling demand, stiffer safety requirements and pressure from low-cost airlines, all of which is pushing toward the concentration of airlines”.