But for the trillionth time, and the link you've posted alludes to the same thing, if, and it is a massive if, bmi is sold to them it would be IAG buying it, NOT BA. There is a massive difference. BA is now a brand of the IAG group....why is that so hard to understand? I would also bet everything i own that there would be no merger, and there will be no bmi pilots/crew flying BA aircraft having being merged into the seniority list.
IAG is one of the few airline groups out there at the minute who's is doing reasonably well. Why on earth would they jeapordise that and take on something losing hundreds of millions of pounds a year, and commit themselves to flying a shedload of extra flights just to keep the slots, all at a time when that is probably the LAST thing anyone would want to do.
IAG want some (note some) of the slots, clearly. The rest of it, no, i dont think so.
I am well aware that IAG owns BA and M&A decision making now sits in IAG.
If IAG chooses to buy BD, whether it sits immediately under IAG or under the BA operating company is IAG's call and will be driven by a whole host of factors, such as tax structuring, financing and management reporting lines of the IAG structure. Ditto for whether it remains as a separate operating company or formally merges with the BA operating company.
Either way, it seems clear that LH want to dispose of BD by year end and it is the airline IAG is bidding for. The issue of BD's liabilities/losses are all things that will be factored into the deal price and terms.
There will be hard work ahead for IAG/BA if it buys BD but they're not going to pass at a once in a lifetime chance to grow significantly at LHR. And IAG has a CEO who is not one to shy away from hard work and difficult decisions.
IAG's Q3 results are out on Friday and they may give an update to the City on what they're doing then.