British Airways says its transatlantic alliance with Iberia of Spain and American Airlines will be launched next month. The plan is aimed at cutting costs through greater co-ordination of routes.
BA said the trio had formally signed their 'oneworld' agreement following approval by US and European regulators earlier this year.
'The joint business will launch this October and provide customers with greater access to discounted fares, more convenient connections and better access to the airlines' global network,' BA said in a statement.
BA, which is also close to a full merger with Iberia, said the transatlantic deal was worth a combined $7 billion (€5.1 billion) in annual revenues.
The revenue sharing agreement allows the three airlines to co-operate commercially on flights between the EU, Switzerland and Norway and the United States, Mexico and Canada.
'The benefits from the joint business will be shared between the airlines irrespective of which carrier takes the booking,' BA added.
