Latest news with #LuisGallego
Telegraph
17 hours ago
- Business
- Telegraph
Heathrow warns of slowdown in travel from America
Heathrow has warned that economic uncertainty unleashed by Donald Trump's trade war has sparked a slowdown in travel from the United States. In an update to investors, Europe's busiest airport said it is beginning to see indications of a drop in bookings on transatlantic routes most favoured by business travellers. Heathrow said that while demand among Britons for leisure flights to the US remains strong, it has 'observed some early signs of softness on business-heavy routes'. It added: 'The impact of the economic uncertainty across North America has made this market more challenging so we are maintaining a close watching brief on traffic trends.' Heathrow's comments suggest that demand in the world's biggest corporate and premium travel market is beginning to be undermined by Mr Trump's trade war and its impact on business confidence. They said that while transatlantic routes continue to represent a core strength of the network it serves, there is an 'overhanging uncertainty' about how well they will hold up going into the summer peak. Slight recovery However, US passenger volumes still increased from January through May compared with a year earlier, it said, while cargo volumes jumped amid increased trade activity ahead of the president's liberation day tariffs announcement in April. British Airways (BA) has previously reported softer ticket sales for its economy class cabins on flights from the US, though Luis Gallego, chief executive of parent company International Airlines Group, said this month that demand was recovering. Virgin Atlantic also said in March that it was seeing a lower level of bookings made in the US, with a few weeks where it had turned negative. Heathrow predicted that passenger numbers will increase 0.5pc this year to 84.2m, while warning of a 3pc drop in operating profits as it absorbs the impact of the Government's National Insurance tax raid. Thomas Woldbye, Heathrow's chief executive, said punctuality at the airport has improved to the best level among European hubs, while almost 97pc of passengers were now clearing security in less than five minutes. Mr Woldbye had faced criticism over service standards from Heathrow Reimagined, a lobby group that includes BA and Virgin and is demanding a reset of the charging mechanism for flying from the airport ahead of the construction of a third runway. It is seeking the establishment of a new body that will give airlines more say over infrastructure spending, and a move to competition between Heathrow's terminals. The Civil Aviation Authority will set out the scope of a review of the charging system as early as next week.
Wall Street Journal
11-06-2025
- Business
- Wall Street Journal
British Airways: Air-Travel Demand Starting to Recover From ‘Liberation Day' Hit
It looks like the drop-off in demand that airlines recorded after 'Liberation Day' might have just been a blip, according to the chief executive of British Airways' parent company. Sales, particularly for economy-class seats across the Atlantic, began stuttering after President Trump unveiled his tariff line-up in early April. But in the past three weeks, that demand has started to see "a recovery," IAG CEO Luis Gallego said at the WSJ CEO Council.
Skift
11-06-2025
- Business
- Skift
U.S. Demand Is Recovering After Trump 'Liberation Day' Hit, Says IAG CEO
Despite political noise and some short-term booking softness, IAG appears bullish on U.S. demand. CEO Luis Gallego says the real problem isn't a 'Trump Slump,' but a shortage of aircraft throttling global growth. IAG CEO Luis Gallego says transatlantic demand remains strong, despite recent economic jitters and political uncertainty. Speaking Wednesday, he pointed to a rebound in economy-class bookings and expanded U.S. flying this summer. Gallego, who oversees flag carriers including British Airways, Iberia, and Aer Lingus, was asked at a Wall Street Journal event if IAG had experienced a "Trump slump" with a drop in international tourism linked to recent U.S. political developments. The IAG chief downplayed any significant or lasting impact on the business. "In our case, transatlantic is doing well," he said, noting
Sky News
05-06-2025
- Business
- Sky News
British Airways-owner IAG braced for turbulence over pay
The owner of British Airways (BA) is the latest in a string of blue-chip London-listed companies to face investor unrest this year over its executives' multimillion pound pay packages. Sky News has learnt that International Airlines Group (IAG) is braced for a shareholder revolt at its annual meeting on June 18 over a remuneration policy that will include a one-off share award potentially worth more than £2.7m to Luis Gallego, its chief executive. Institutional Shareholder Services (ISS), the influential proxy voting adviser, has recommended that investors vote against the award, which would vest based on a three-year performance period ending in 2028. The share windfall would be in addition to Mr Gallego's salary, annual bonus and regular incentive award. "The one-time award is tied to operating margin performance above the company's medium-term ambition," ISS said in a report to clients which has been seen by Sky News. "The company states that this proposal aims to align the CEO's compensation package with senior management, address pay compression, enhance competitiveness, and bring the CEO's pay closer to comparable FTSE peers. "While the company's rationale is noted, material concerns are identified with the concurrent operation of the one-time award and the existing RSP [restricted stock plan], particularly as no reduction has been made to the RSP opportunity." Remuneration policy votes are binding on companies, although the level of opposition that IAG was facing was unclear. Since the disruption caused by the Covid pandemic, IAG's performance has recovered strongly, with the company reporting stronger-than-expected first-quarter profits last month. On Thursday, shares in IAG were trading at around 331p, giving the company a market capitalisation of more than £15.7bn.
Business Post
02-06-2025
- Business
- Business Post
US markets open in the red
The Iseq All Share closed in the green on Monday, up 0.16 per cent from the previous... Christian Dior has named Northern Irish designer Jonathan Anderson as creative director... Glanbia, the global nutrition group, said on Monday it has completed a €50... Wall Street's main indexes opened lower on Monday as global trade tensions and geopolitical... Luis Gallego, chief executive officer of IAG, said the weaker demand on transatlantic... A gas power plant worth over €100 million backed by Sustainable Development Capital... The European Central Bank is about to lower interest rates for the final time before...
