Iberia Rewarded With $4 Billion Fleet Order as IAG Profit Surges
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British Airways parent IAG SA ordered 16 wide-body jets including the newest Airbus model for its Iberia business after a turnaround at the Spanish arm helped boost group earnings 55 percent in the second quarter.
Iberia will get eight A350-900s, a plane not due to enter service until later this year, plus the same number of A330-200s from Airbus Group NV to replace 16 aging A340s, IAG said today. Three-month operating profit of 380 million euros ($509 million) before one-time items beat the average analyst estimate of 359 million euros, largely on the impact of cost cuts in Spain.