Originally Posted by
Jet II
WW covered this in his interview on Sky. It is not IAG who are buying Air Europa, the purchase is being funded by Iberia out of their budget who are an independent operating entity within the Group and whose Management make their own commercial decisions..
When dividends are paid or shares are bought back, where does the money come from? How are individual OpCo cash reserves contributed? Whilst they may say an acquisition by another OpCo has no effect on the others, I do not believe it for one moment. The Spanish companies have long hated the contributions BA makes towards its NAPS pension deficit for instance, and I am sure that was a big driver behind its closure a few years back.