Iberia has returned to profit after years of losses and burning cash, but the restructuring of the Spanish airline is not over. The ever-increasing strength of low-cost carriers (LCC) in Spain—they now hold a 50% market share—and rival Air Europa’s ambition to expand its Latin American footprint mean more cost-cutting may be needed. And the changes implemented during Iberia’s rigorous transformation plan must be consolidated so that legacy practices do not creep back ...

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