Investors shying away from saving weak airlines: IAG's Walsh

IAG CE Willie Walsh believes there is greater reluctance among investors to save collapsing airlines, and insists that a tough attitude towards weak carriers is necessary. The company presented data suggesting that new European short-haul airlines which started up between 2000 and 2016 lasted an average of only 6 years. It also put the failure rate at around 70%. Walsh said that there was increasing resistance from financiers to offer rescue. "The best form of consolidation is when the weak disappear – and we're seeing that," he says. "In the past, where weak airlines were able to convince somebody to acquire them – we're not seeing that anymore." Walsh says that IAG is prepared to investigate opportunities to acquire carriers with prospects. <br/>