Iberia has launched its budget airline Iberia Express with 17 routes in the summer season.
The airline, which began flights yesterday, will cover Spanish cities including Madrid and the islands such as Ibiza, Fuerteventura and Lanzarote.
Starting with four aircraft on domestic and European routes, the low cost airline expects to have fourteen A320s and 500 staff by the end of the year.
Iberia chief executive Rafael Sanchez-Lozano told a press conference: "Iberia Express will be a success story that adds value to the Iberia Group.
"It will restore profitability to short- and medium-haul routes, add new destinations and connections, and feed traffic to the long-haul network where Iberia is focusing its growth strategy."
The new airline will be managed independently, but will use Iberia’s maintenance and other services.
Iberia pilots’ recently cancelled a number of planned strikes, agreeing to talks with a mediator.
The airline, owned by BA’s parent company International Airlines Group, has been hit with continued industrial action over its plans to create Iberia Express which pilots feared would threaten jobs.
By Diane Evans
