Sector movers: BA lifts travel stocks again

13th Nov 2009 11:12

British Airways is helping lift the travel and leisure sector higher again after last night unveiling the terms for its proposed merger with Iberia.BA will own 55% of the enlarged company and Iberia 45%. The merger is expected to save £360m per year with jobs to go both companies' head offices in London and Madrid.The combined airline will carry 62m passengers a year, making it one of Europe's largest airlines. It will have 419 aircraft and fly to 205 destinations.The merger is still subject to conditions, including Iberia's acceptance of discussions between BA and its pension trustees and regulatory approval.Elsewhere in travel, Bus group Go-Ahead is higher after saying it has been selected as the preferred bidder for Plymouth CityBus. Completion is subject to final due diligence and full council approval, expected at the end of November.General industrial stocks are dragged down by the can maker Rexam, which today appointed Graham Chipchase as its new chief executive to replace Leslie Van De Walle, and said that trading remains difficult with can and packaging volumes still weak.Top performing sectors so far todayReal Estate 2,148.94 +1.58%Construction & Materials 3,501.30 +1.19%Electronic & Electrical Equipment 1,576.74 +1.15%Electricity 6,131.17 +0.95%Travel & Leisure 3,970.81 +0.72%Bottom performing sectors so far todayGeneral Industrials 2,120.40 -0.88%Oil Equipment Services & Distribution 15,869.61 -0.77%General Financial 5,381.50 -0.66%Beverages 7,567.93 -0.56%Food & Drug Retailers 4,816.42 -0.44%