British Airways selling Qantas stake

SYDNEY, Sept. 7 (UPI) -- Australia's Qantas Airways Limited said Wednesday British Airways is selling its 18.25 percent stake in Qantas.

Qantas asked the Australian Stock Exchange to stop trading Quantas stock for 48 hours in light of the impending sale. But Quantas Chief Executive Officer Geoff Dixon said the sale would have no effect on the operations of Qantas.

"The Joint Services Agreement that provides for joint schedules, sales and operations between Australia, South East Asia, the United Kingdom and Europe will continue, as will other forms of cooperation."

Dixon said the 'tyranny of distance' prevented Qantas and British Airways from consolidating, but not cooperating.

"We will, however, seek to further strengthen our commercial position to enable us to take a leading role in any suitable consolidation opportunities that may arise in the Asia Pacific region," Dixon said.