BA's International Airlines Group monitoring situation in Libya and Middle East, with fuel accounting for quarter of costs
Dan Milmo
guardian.co.uk, Friday 25 February 2011 08.49 GMT
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The aviation powerhouse created by the merger of British Airways and Spain's Iberia has warned it may curb its expansion plans following the latest spike in the oil price.
International Airlines Group hinted it might cut back on schedules by flying aircraft less often if the latest increase in oil prices did not recede. "We are monitoring the impact of the current Middle East instability on fuel prices and have the flexibility to change our capacity plans if necessary," said IAG.
Oil prices rose to close to $120 a barrel on Thursday, but have fallen back to just over $113 a barrel.
