BA and Qantas end merger talks

British Airways and Qantas have ended merger negotiations after failing to come to an agreement over the £4.1bn deal. However, the two airlines will continue to work together as part of a ten-airline global alliance.

Qantas says that despite the potential longer-term benefits the airlines have not reached an agreement over “the key terms of the merger at this time”.

Earlier this month, Qantas chief executive Alan Joyce warned that the merger would go ahead only if Qantas could be assured of revenue and cost benefits.

On December 2, BA and the Australian airline Qantas confirmed they were in talks over a potential merger. BA said that the tie-up would not affect BA’s revenue-sharing deals with American Airlines and Spanish airline, Iberia.

The two airlines have a joint business between UK and Australia through the Oneworld global alliance, which brings together ten of the world’s carriers.

BA held an 18.25% stake in Qantas for 11 years until selling it off in 2004. It sold the stake to raise money to help pay off debt.

Latest from Marketing Week

NOT REGISTERED? IT'S FREE, QUICK AND EASY!

Access Marketing Week’s wealth of insight, analysis and opinion that will help you do your job better.

Register and receive the best content from the only UK title 100% dedicated to serving marketers' needs.

We’ll ask you just a few questions about what you do and where you work. The more we know about our visitors, the better and more relevant content we can provide for them. And, yes, knowing our audience better helps us find commercial partners too. Don't worry, we won't share your information with other parties, unless you give us permission to do so.

Register now

THE BEST CONTENT

Our award winning editorial team (PPA Digital Brand of the Year) ask the big questions about the biggest issues on everything from strategy through to execution to help you navigate the fast moving modern marketing landscape.

THE BIGGEST ISSUES

From the opportunities and challenges of emerging technology to the need for greater effectiveness, from the challenge of measurement to building a marketing team fit for the future, we are your guide.

PERSONAL AND PROFESSIONAL DEVELOPMENT

Information, inspiration and advice from the marketing world and beyond that will help you develop as a marketer and as a leader.

Having problems?

Contact us on +44 (0)20 7292 3711 or email subscriptions@marketingweek.com

If you are looking for our Jobs site, please click here