BA pension trustees threaten to hold up Qantas merger
A Report in the UK Observer says that the trustees of British Airways’ troubled pension funds intend to hold up the proposed merger with Qantas, the Australian carrier, amid fears a deal will hamper efforts to close the £1.7bn shortfall dogging the airline’s retirement funds.
PricewaterhouseCoopers, adviser to the BA pension fund trustees, has already begun asking independent experts to scrutinise the terms of the merger – still in the earliest of stages.
“There is a concern among some of the trustees that the combined group will not be adequately capitalised to address the pension funds shortfall,” a source close to PWC said.
BA’s pension funds faced a £1.74bn shortfall in March, which is understood to have widened substantially since, as stock markets have declined by historic proportions. The March figure almost equals BA’s current stock market value.
A spokesman for the BA trustees said PWC had not been instructed to conduct any due diligence of the deal yet, but a source added the firm was likely to be asked to look at the deal before the end of the month. PWC declined to comment.
A merger between the airlines would create a carrier with 500 planes and more than 71 million passengers a year.
A Report by The Mole
John Alwyn-Jones
Vegas’s Billion-Dollar Secrets – What They Don’t Want Tourists to Know
Visit Florida’s New CEO Bryan Griffin Shares His Vision for State Tourism with Graham
Chicago’s Tourism Renaissance: Graham Interviews Kristin Reynolds of Choose Chicago
Graham Talks with Cassandra McCauley of MMGY NextFactor About the Latest Industry Research
Destination International’s Andreas Weissenborn: Research, Advocacy, and Destination Impact
Graham and Don Welsh Discuss the Success of Destinations International’s Annual Conference
Graham and CEO Andre Kiwitz on Ventura Travel’s UK Move and Recruitment for the Role
Brett Laiken and Graham Discuss Florida’s Tourism Momentum and Global Appeal
Graham and Elliot Ferguson on Positioning DC as a Cultural and Inclusive Global Destination
Graham Talks to Fraser Last About His England-to-Ireland Trek for Mental Health Awareness
Kathy Nelson Tells Graham About the Honour of Hosting the World Cup and Kansas City’s Future
Graham McKenzie on Sir Richie Richardson’s Dual Passion for Golf and His Homeland, Antigua
ADS PRO 
Phocuswright reveals the world's largest travel markets in volume in 2025
Higher departure tax and visa cost, e-arrival card: Japan unleashes the fiscal weapon against tourists
Cyclone in Sri Lanka had limited effect on tourism in contrary to media reports
Singapore to forbid entry to undesirable travelers with new no-boarding directive
Euromonitor International unveils world’s top 100 city destinations for 2025