Rafael Sánchez-Lozano, Iberia’s chief executive, said: “Iberia is in fight for survival. It is unprofitable in all its markets. We have to take tough decisions now to save the company and return it to profitability. Unless we take radical action to introduce permanent structural change the future for the airline is bleak. However this plan gives us a platform to turn the business around and grow.
BA (not IAG) 9 Month operating profit: £232m
Iberia 9 Month operating loss: £262m
As much as it pains me for those losing jobs at Iberia I don't see how they could have continued as they were.
The entire restructuring plan and the costs involved with implementation are coming from within Iberia itself. It would seem this is the completion of a two year radical mamangement rethink of the business direction.
As I said before, the outcome was fairly inevitable.