StockMarketWire.com - British Airways parent International Consolidated Airlines narrowed losses in the third quarter as capacity continued to improve supported by growth from its Iberia and Vueling airlines.

For the three months ended 30 September, pre-tax losses narrowed to €714 million from a loss €2.0 billion year-on-year.

Passenger capacity in Q3 was 43.4% of 2019, up from 21.9% in quarter 2.

Iberia and Vueling continued to be the best performers within the group in the third quarter.

'Iberia returned to profitability while Vueling reached breakeven at the operating level,' the company said.

IAG touted a further improvement in capacity for Q4 for around 60% of 2019 capacity, as the transatlantic travel is set to fully reopen.

'The full reopening of the transatlantic travel corridor from Monday is a pivotal moment for our industry. British Airways is serving more US destinations than any transatlantic carrier and we're delighted that we can get our customers flying again,' the company said.

Looking ahead, IAG expects its 2021 operating loss before exceptional items to be approximately €3.0 billion, with 2021 capacity expected to be 37% of the 2019 level.

'In the short term, we are focused on getting ready to operate as much capacity as we can and ensuring IAG is set up to return to profitability in 2022,' it added.



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