Walsh to lead BA on major expansion drive

British Airways is set to embark on an acquisitions-led expansion drive, it emerged today.

BA’s chairman Martin Broughton wants new chief executive Willie Walsh to prepare the airline for growth through mergers and acquisitions, the Sunday Express reported.

Mr Broughton said there were opportunities BA would like to take “in the fullness of time” and that it would consider them as they arose, according to the newspaper.

However, the chairman said Mr Walsh would focus on the operational side of the business in the first few months.

BA has been linked to tie-ups with various European airlines in recent years, but none have blossomed into full scale mergers.

In August 2003, Dutch flag carrier KLM suspended talks with BA about a possible alliance and later merged with Air France.

BA and national Spanish airline Iberia began working together in 1999 with a code-sharing deal, allowing them to sell seats on each other’s services and BA now has a 9% stake in Iberia.

BA appointed Mr Walsh, the former boss of Aer Lingus, as its new chief executive in March after confirming Rod Eddington would leave in September.

Mr Walsh earned the respect of the airline industry for his efforts in returning Aer Lingus to profitability.