BA ‘considers’ bid for Spanish airline

BRITISH AIRWAYS and TPG said they are “considering” their bid for Iberia Lineas Aereas de Espana. The Sunday Telegraph said they may lower it.

“The consortium is considering its position based on the information available from Iberia,” Sophie Greenyer, a spokeswoman for London-based BA, said yesterday. “We’re still looking at the detail. There’s nothing new to add.”

The group, led by BA and TPG, will cut its offer for Madrid-based Iberia, the Sunday Telegraph said, citing an unidentified person close to the deal. BA and TPG are concerned about the cost of borrowing and the prospect of falling air fares, the London- based newspaper said.

A bidding group led by Fort Worth, Texas-based TPG has said it may offer €3.4 billion for Iberia, Spain’s

biggest airline. Carriers are jockeying for more access to routes between the US and the EU under the open skies treaty that takes effect in March 2008, which will allow European carriers to fly from any airport in the EU to the US.