Spanish airline Iberia has announced plans to restructure.
October 22: Spanish airline Iberia has announced plans to restructure “to address the dramatic [financial] situation now faced by the airline” according to a recent press release.
Called ‘Plan 2012’, the airline will create a new short-haul carrier for its domestic routes in 2011 based at Madrid Airport, while the parent company will concentrate on long-haul flights.
Iberia’s Chief Operating Officer, Rafael Sánchez-Lozano, described the current situation as unsustainable; “The airline industry has never experienced such a dramatic situation. It is essential for us to use imaginative means to transform Iberia into a sound and viable project,” he said.
Other cost-cutting measures will include a wage freeze until 2012; an early retirement plan for all cabin attendants over 55 and 200 further job cuts.