British Airways is said to be the flag carrier of the UK (United Kingdom), and is currently the largest airline based on their fleet size, internationsl flights and international destinations. The airline is based at London Heathrow Airport.
In 1972, A British Airways Board was established by the United Kingdom government to nationalise the 2 main airline companies -British Overseas Airways Corporation and British European Airways. British Airways is also a founding member of the Oneworld airline alliance and has grown to become the 3rd largest!
On July 2008 British Airways announced a merger plan with Iberia, another airline in the Oneworld alliance, wherein each airline would retain its original brand. The agreement was confirmed in April 2010, and in July the European Commission and US Department of Transport permitted the merger and began to co-ordinate transatlantic routes with American Airlines. On 6 October 2010 the alliance between British Airways, American Airlines and Iberia formally began operations.
The alliance generates an estimated £230 million in annual cost-saving for BA, in addition to the £330 million which would be saved by the merge with Iberia.This merger was finalised on 21 January 2011, resulting in the International Airlines Group (IAG), the world’s third-largest airline in terms of annual revenue and the second-largest airline group in Europe.Prior to merging, British Airways owned a 13.5% stake in Iberia, and thus received ownership of 55% of the combined International Airlines Group; Iberia’s other shareholders received the remaining 45%.As a part of the merger, British Airways ceased trading independently on the London Stock Exchange after 23 years as a constituent of the FTSE 100 Index.