Three-way airline link-up offers better choice for passengers

The three airlines announced four new routes to start from next April, including a BA service between Heathrow and San Diego in southern California.

The deal, finally approved recently, will mean the three carriers will jointly market, or codeshare, on 2,600 extra flights.

BA chief executive Willie Walsh said: "We've waited 14 years to be able to do this, so it's an historic occasion."

The new joint business allows the three airlines to cooperate commercially on flights between the European Union, Switzerland and Norway and the United States, Mexico and Canada.

It has been approved by the competition authorities of the EU and the US.

Mr Walsh said: "Today's route announcement is a great example of how by working together we can benefit customers.

"Combined selling and scheduling means that we will be able to operate routes that would not have been viable for us to operate individually.

"This partnership will provide a one-stop shop for transatlantic travel, regardless of how you book, which of our airlines you fly with, or where you want to transfer."

Gerard Arpey, chairman and chief executive of AMR Corp, the parent company of American Airlines, said: "We've been waiting for 14 years to be able to bring these benefits to our customers and it's great news that we can now put our plans into action."

Antonio Vazquez, chairman and chief executive of Iberia, said: "The growth potential of our joint business and the extra capacity Madrid offers will enable the airport to become one of the main gateways for flights between North America and Europe in the very near future."

All three airlines are keeping their identities, with Mr Walsh stressing that the carriers would "not be seeking to provide exactly the same type of service."