Page last updated at 12:50 GMT, Thursday, 8 April 2010 13:50 UK

Deal to create world's largest airline

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British Airways and the Spanish carrier Iberia have signed a deal to merge and create one of the world's biggest airlines.

The new company will be called International Airlines Group, but the BA and Iberia brands will continue to operate as normal.

The deal is expected to come into force by the end of the year.

Richard Scott reports.

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