Holidaymakers and travellers are again facing disruption to their plans after the cancellation of more easyJet and British Airways flights as a result of staffing shortages caused by a soaring number of coronavirus cases. BA cancelled 78 flights scheduled to take off from or land at Heathrow on Wednesday, while easyJet cancelled at least 30 flights scheduled to take off from or arrive at Gatwick. Some of the routes affected include journeys to Amsterdam, Kraków, Bologna and Berlin. The latest cancellations mark another day of widespread disruption for airline passengers, many of whom are taking advantage of the lifting of travel restrictions to get away on Easter holidays. More than 1,000 UK flights have been cancelled by airlines in recent days because of high levels of crew absences related to Covid-19. Demand for foreign travel has soared after the easing of almost all Covid travel restrictions but it comes as high levels of Covid cases are exacerbating existing staff shortages caused by large numbers of aviation workers being laid off during the pandemic. EasyJet had previously said it expected to cancel hundreds more flights during the week because of staff absences. It said at the weekend it had tried to offset shortages by rostering standby crew but was forced to make fresh cancellations at short notice.<br/>
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Luis Gallego, the CE of British Airways' parent IAG, said on Wednesday a deal over the protracted acquisition of Spanish low-cost airline Air Europa may take at least 18 months. "We have to decide on a calendar to take 100%, but I think it would take minimum 18 months," Gallego said during an event called 'Wake Up Spain,' held in Madrid. He didn't detail how much IAG would eventually pay for Air Europa. The company will also have to secure antitrust approvals in several countries, Gallego said. IAG announced in late 2019 it had agreed to buy its smaller rival for E1b with the goal of building a big hub in Madrid, but the COVID pandemic and antitrust concerns derailed the merger. As the pandemic tipped the airline industry into crisis, hitting Air Europa particularly hard, shareholders in both companies agreed to cut the deal's price tag to E500m. Spain's government approved a E475m rescue package for Air Europa in November 2020, a part of which could be converted into equity, meaning the Spanish government has also been involved in the talks since then. Negotiations had all but ground to a halt until last month when IAG agreed to grant Air Europa a E100m loan convertible into a 20% stake.<br/>
Airbus and Qatar Airways are set to face each other in court as a dispute over billions of dollars of jets enters a theatrical phase and rattles some airline leaders. The Gulf carrier will on Thursday ask a UK judge to extend an order that prevents Airbus revoking a contract for 50 A321neo jets, pending fuller hearings. Airbus took the exceptionally rare step of halting the order in January in retaliation for Qatar's refusal to accept delivery of larger A350s, citing a breakdown in relations that has the makings of a corporate divorce trial. Qatar has grounded 23 of the A350 jets, voicing concerns over the safety impact of gaps in a layer of lightning protection left exposed by cracked and bubbling paint. It says it will not take further deliveries until the cause is formally explained and is suing Airbus for steadily rising compensation that now exceeds $1b. The world's largest planemaker has acknowledged quality problems with the jets but insists the damage is well within safety tolerances, noting that European regulators consider them airworthy and other airlines continue to fly them.<br/>
Qatar Airways said on Wednesday it does not have plans to operate flights from Mexico City's new Felipe Angeles International Airport, apparently contradicting government assertions that the airline wanted to use the hub. "We can confirm that Qatar Airways do not have plans to commence operations to the Felipe Angeles International Airport, Mexico City," said a spokesperson for Qatar Airways. Mexican Foreign Minister Marcelo Ebrard said on Tuesday that "Qatar Airways told us via its CEO that they want to fly to Felipe Angeles Airport" and that Mexico planned to start negotiations this week with the Qatari national carrier. The airline made no further comment when queried about Ebrard's remarks and did not respond to a question about whether negotiations would start this week. Airlines such as Aeromexico, Volaris and Viva Aerobus have confirmed they will operate in the airport, which critics argue is difficult to reach and was inaugurated before it was fully ready. Flights to the United States are expected to begin in the second half of 2022, the airport's CE has said. President Andres Manuel Lopez Obrador inaugurated the airport on March 21, as the first of the major infrastructure projects he has championed in office. <br/>
The ACCC has finally confirmed it will not take any action against Qantas for buying a 19.9% stake in Alliance in February 2019. The Flying Kangaroo paid A$60m but its stock is now worth more than $90m after the smaller airline became one of the industry’s pandemic success stories. Alliance managing director Scott McMillan revealed the competition watchdog confirmed the decision in a letter that stated action will not be taken “at this point in time”. QantasLink is currently wet-leasing 11 of Alliance’s Embraers, with the possibility that seven more could be put into service in the next two years. The announcement marks a significant change in tone from the ACCC after it initially said it was concerned the shareholding could “have the effect of substantially lessening competition in markets for the supply of fly-in fly-out (FIFO) charter airline services, and regular passenger transport (RPT) services on routes serviced by Alliance Airlines aircraft”. “Alliance Airlines is often Qantas’ only or closest competitor (or an integral input to Virgin where Virgin is Qantas’ only or closest competitor) for these services,” it previously argued. However, last year, Alliance itself signed a separate deal with rival Virgin to collaborate on 41 regional routes until 31 March 2023. The ACCC cleared that agreement, too, despite fierce opposition from Rex.<br/>