International Consolidated Airline Group’s (LON:IAG) new low-cost transatlantic carrier Level is launching new routes from Paris as it expands its network, the FTSE 100 group has said. In a separate development, the British Airways parent has secured take-off and landing slots at London’s Gatwick airport following the collapse of Monarch Airlines.
IAG’s share price is flying higher in today’s session, having added 1.33 percent to 611.50p as of 14:31 GMT, outperforming the broader UK market, with the benchmark FTSE 100 index currently standing 0.85 percent higher at 7,446.40 points. The group’s shares have added more than 39 percent to their value over the past year, and are up by some 38 percent in the year-to-date.
Level expands network
IAG announced in a statement today that it would launch flights to Montreal, New York, Guadeloupe and Martinique from Paris from July next year via its budget long-haul brand Level. The low-cost carrier will base two Airbus A330-200 aircraft at the French capital’s Orly airport. The FTSE 100 company launched the new airline earlier this year as it looks to compete with low-cost transatlantic carries such as Wow Air and Norwegian.
“LEVEL’s Barcelona operation has been an incredible success. Customers love it and LEVEL will be profitable this year,” the group’s chief executive Willie Walsh commented in the statement, adding that like Barcelona, Orly is a hub for IAG’s low-cost airline Vueling, meaning that “customers will be able to fly there from other parts of Europe to connect onto LEVEL”.
Today's news comes after Walsh signalled last month that Level will have a fleet of 30 aircraft by 2022.
In other IAG news, the BBC reported yesterday that the company had secured take-off and landing slots which used to belong to Monarch before it collapsed. The FTSE 100 group expects that the slots, located at London’s Gatwick airport, will enable its airlines – primarily British Airways – to offer more flights and new routes from the airport.