Deutsche Lufthansa dismissed speculation today that it could be preparing a bid for Iberia.
"There is absolutely nothing new in that direction," chief executive Wolfgang Mayrhuber said, adding: "I am a modest manager, that would be a bit too much."
Despite Lufthansa's repeated denials, markets continue to buzz with talk the German flag carrier could be eyeing Iberia.
Such speculation was likely to be fuelled by news EU transport ministers had unanimously backed an open skies pact liberalising transatlantic air traffic today, an accord that could prompt a wave of airline consolidation.
A combined Lufthansa-Iberia would create an airline valued at around €12.8 billion and carrying around 70 million people a year, rivalling Air France-KLM in terms of passengers.
