British Airways Might Pay Only £20M for BMI

British AirwaysBritish Airways’s parent Company, IAG, might end up paying only £20M for BMI, due it having to take on unwanted subsidiaries BMI Regional and BMI Baby. As part of the deal with Lufthansa, IAG were said to be able to receive a “significant reduction” in the acquisition fee if Lufthansa was not able to sell them before the completion of the deal.

IAG will have to incur the ongoing running costs of the subsidiaries until they can find a new buyer or decide to close them down, but this is a great piece of business for the group, which acquired 42 coveted Heathrow slots as part of the deal.

Full report here:

http://www.travelweekly.co.uk/Articles/2012/04/23/40273/ba+paid+just+20+million+for+bmi+claims+report.html

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One thought on “British Airways Might Pay Only £20M for BMI

  1. Pingback: BA Owner May Struggle to Sell BMI Regional and BMIBaby | Miles Mania

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