British Airways is to target the premium market on future services planned to link mainland European business capitals with the USA, following the recent European-US open skies agreement.
Current restrictions on transatlantic flights will be lifted when the first stage of the open skies deal comes into effect next year and BA earlier this month filed an application to US regulators for authority to operate from cities on mainland Europe to the USA.
In releasing its full-year results last week, BA said it had filed the application for authority to enable it to grow the "most profitable part" of its business - namely its premium activities.
UK daily The Financial Times reports the carrier is planning to offer all-premium services on the links - either in one- or two-class layouts - using Boeing 757s or 767s. The airline confirms that it is planning to operate direct flights between the USA and key European business cities and is "looking to provide a premium product", but adds that no final decision on the precise configuration of the product has been made.
Meanwhile, BA has linked up with Texas Pacific Group to evaluate a bid for Iberia along with three Spanish equity firms, Inversiones Ibersuizas, Vista Capital and Quercus Equity. The latter is a minority shareholder in Iberia's low-cost airline arm Clickair.
Oneworld carrier Iberia in March revealed it was prepared to open its books to potential interested parties and subsequently at the end of March disclosed it had received a request from TPG Capital for access to company information in connection with a possible public offer to acquire all of Iberia's stock for €3.60 ($4.90) per share.
Source: Flight International
