Automatic

✈ IAG and Iberia informed the European Commission of their decision to cancel the purchase of Air Europa on Thursday, after reporting a net profit of €905 million for January to June, a 1.7% decrease from €921 million in the same period last year. Iberia, which faces high demands from the Directorate-General for Competition, will pay Globalia a €50 million penalty, after a previous withdrawal in June 2021 that cost them €75 million. IAG's stock rose by 5% on the Spanish stock market following the announcement. Air Europa aims to consolidate its position in the connectivity between Europe and America, based on its Strategic Plan 2024-2026, showing a 6.5% increase in the first semester compared to 2023.

🏠 In the Comunidad Valenciana, tourism accommodation licenses must be renewed every five years, with municipalities able to limit their use following a new decree law. As of July 15, 2024, there are 105,111 registered tourist use accommodations, a 160.4% increase since 2015. Tourist homes represent 1.8% of the housing stock. Key measures of the decree include mandatory reporting of cadastral references by December 31, the ability of local governments to regulate VUTs by area, and the prohibition of key drop boxes in public areas. HOSBEC views the decree positively but sees more work ahead.

📌 AEHM and AEDH took action against Booking.com, leading to a CNMC ruling imposing a €413 million fine. The hotel industry sees this as a positive step towards fair competition and transparency. Booking's dominance, handling 70-90% of hotel bookings, was challenged for contract terms that hindered competition and market access. The CNMC now requires Booking to revise its practices and contracts, aligning with new EU directives DMA and DSA, promoting competition and consumer transparency. The AEDH's legal advisor, Javier Zamora, emphasizes the importance of eliminating abusive clauses. The Spanish tourism industry is expected to become more competitive and transparent as a result.

🔓 U.S. Competition authorities fined major chains for influencing platform room prices. Booking.com, leveraging its strong Google positioning, imposed price parity in Europe. A late 2020 ruling allowed hoteliers to sue Booking.com in their home countries instead of the Netherlands. France and Austria banned unfair hotel clauses. The EU Court's November 2020 decision enabled hotel associations to initiate litigation domestically. Booking.com is contesting the CNMC's first non-firm sanction for alleged anti-competitive practices but has agreed to certain changes demanded by hoteliers, including the elimination of the "narrow parity clause," adherence to Spanish contract versions, and the use of national courts for disputes. Despite this, Booking.com is deemed essential for Europe's tourism ecosystem, especially for SMEs, offering hotels global market positioning at competitive costs.