English | دری

Spanish new low-cost airline Iberia Express launched

in International Business

Spanish new low-cost airline Iberia Express launched

Spain’s Iberia has launched a new entry in Europe’s competitive market for low-cost airlines.

The new airline, Iberia Express, begins on Sunday with prices starting at 25 euros (£21) for a one-way ticket.

Iberia Express will cover Spanish cities including Madrid and the islands such as Ibiza, Fuerteventura and Lanzarote.

The launch comes after Spain’s fourth-largest airline Spanair collapsed in January, stranding 20,000 passengers.

Iberia is owned by the same parent company as British Airways.

The low-cost Iberia Express has 500 staff and has a fleet of four Airbus A320 aircraft, according to Iberia chief executive Luis Gallego.

“The containment of costs will allow Iberia Express to grow and compete with the low-cost operators,” he said.

Labour dispute

The new airline’s website is advertising for pilots and cabin crew.

The airline will initially fly to the cities of Vigo, Santiago and Granada, as well as Menorca, Ibiza, Fuerteventura, Lanzarote and La Palma.

Later, it will expand to the Republic of Ireland, Italy, Greece, Latvia and the Netherlands, Mr Gallego said.

The airline is also the subject of a labour dispute, with the union representing Iberia’s 1,600 pilots fearing it will lead to job losses.

The dispute with the union led to 12 days of work stoppages in December and January to protest the low-cost airline.

Separately, the Spanish government has said it is taking legal action over the collapse of Spanair, saying it could be fined 9m euros.

In 2010, Spanair reported an operating loss of 115m euros.

After Spanair’s collapse, Irish rival Ryanair said it was examining opportunities in Spain. “We certainly see it as an opportunity to expand our base,” it said.

Source: BBC

 


Tags assigned to this article:
Spanish low cost airline

Related Articles

Standard Chartered to pay $340m penalty

Standard Chartered has agreed to pay a $340m settlement to New York regulators after it was accused of helping Iranian

Boeing Expects a Stronger Airline Traffic

Boeing forecasts USD 4.5 trillion of new planes will be bought over the next 20 years, with airline traffic growing

South Korea Banks to be investigated for Rate-Rigging

The Fair Trade Commission is looking at South Korean banks, Kookmin, Shinhan, Woori, and Hana for rigging rates of certificates

No comments

Write a comment
No Comments Yet! You can be first to comment this post!

Write a Comment

Your e-mail address will not be published.
Required fields are marked*

Time limit is exhausted. Please reload the CAPTCHA.