Rising fuel costs and the impact of Spain's economic crisis left the owner of British Airways and Iberia nursing big quarterly losses today.

Warning of the week: Spanish practices

The owner of British Airways – the official airline of the Olympics – has warned that the Games will "dampen" demand for its flights, particularly in the lucrative business market.

Santiago carries reminders of a troubled past, but Simone Kane discovers that art and architecture are much in evidence too

Spanish airline Iberia cancelled more than a third of its flights today due to a strike by pilots fearing job losses when company planes are diverted for use by Iberia's planned new budget carrier.

Bargain of the week: Transatlantic in style

Each week we invite three travel companies to offer us their best deal for a specific holiday. Today: a two-week trip to Costa Rica. Prices are per person, based on two people travelling together. All prices include 14 nights' accommodation and flights from Heathrow in early February next year.

The takeover of BMI by the British Airways-owner IAG would be "disastrous" for customers, Virgin Atlantic warned yesterday as it faced defeat in the race to buy the smaller carrier from Germany's Lufthansa.

The owner of British Airways said today it had agreed to buy troubled airline BMI in a move which will increase its hold on the take off and landing slots at Heathrow airport.

Outlook: Willie Walsh, the boss of International Airlines Group, has never hidden his interest in BMI. But in a straight fight with Virgin Atlantic to take the airline off the hands of Lufthansa, my money would be on Sir Richard Branson's mob.

Passengers saving Airmiles for free flights on British Airways have responded with dismay to the airline's decision to devalue the reward system.

Passengers saving Airmiles for free flights on British Airways have responded with dismay to the airline's decision to devalue the reward.

Strong demand for flights between London and New York overcame the drag of soaring fuel bills, enabling British Airways to push its new parent company into the black in the first half of the year.