IAG competition remedies for Air Europa acquisition were inadequate: Commission

Proposed remedies from IAG to address competition concerns over its acquisition of Spanish carrier Air Europa did not satisfy the European Commission, the regulator has disclosed. IAG and Air Europa have agreed to end the acquisition proposal in its current form, with a view to looking at an alternative structure. The Commission had previously expressed doubts over the competition impact on several routes, given that IAG already owns Spanish carriers Iberia and Vueling. “Discussions with the companies and the proposed remedy package…were not able to adequately address the competition concerns identified,” it states. Scrutiny of the merger was being undertaken not only by the Commission but by the UK’s market regulator.<br/>