Vueling to swallow Clickair. Iberia and Spanair next to resolve
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Vueling and Clickair have agreed to merge, in a move to rationalise competition in the brutal Spanish low cost market. A merger, which is subject to Spanish competition commission approval, would create an airline with approximately 50 aircraft and 10.7 million passengers p/a, the third largest airline in Spain, after Iberia and Spanair. A merger would also enable local LCCs to be better placed to compete with Ryanair and easyJet, which have made major inroads into the markets to/from Spain and on domestic routes over the past two years. [677 words]