IAG traffic grows following launch of low-cost Austrian subsidiary

British Airways parent International Consolidated Airlines saw group traffic increase throughout June, helped in part by the launch of its new low-cost Austrian subsidiary.

When measured in revenue passenger kilometres, traffic increased 9.1% year-on-year, while group capacity in available seat kilometres rose 5.4%.

IAG last month launched its short-haul Austrian subsidiary, LEVEL, which offers flights destined for 14 European destinations from Vienna on one of its four Airbus A321 aircraft in the country. The basis of the unit was formed earlier this year when IAG swooped to buy assets and invest in Niki, a former part of the collapsed Air Berlin group.

Iberia took delivery of its first Airbus A350-900, scheduled to operate its inaugural long-haul flight to New York in August. The Spanish operator will receive 15 more Airbus A350-900's by 2021.

Back in the UK, British Airways announced that its initiative to turn landfill waste into sustainable jet fuel had secured almost £5m of funding from Downing Street and industry backers.

As of 1600 BST, IAG shares had claimed 0.12% to 664p.