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IAG airline group swings into profit

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(Globalpost/GlobalPost)

International Airlines Group, parent of British Airways, announced on Friday a return to profit in the second quarter despite the heavy financial burden of restructuring its struggling Spanish unit Iberia.

IAG reported net profit of 127 million euros ($168 million) for the three months to the end of June compared with a loss after tax of 78 million euros in the second quarter of 2012.

But the airline's half-year net loss more than doubled to 515 million euros from 217 million euros in the first six months of 2012 amid efforts to turn around Iberia, IAG added in an earnings statement.

"The benefits of Iberia's restructuring are beginning to show," said IAG chief executive Willie Walsh.

"Having reduced capacity at Iberia in the first quarter, costs began to be taken out in the second quarter," he added in the statement.

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http://www.globalpost.com/dispatch/news/afp/130802/iag-airline-group-swings-profit