AVIATION The proposed link-up between British Airways and giant US carrier American Airlines (AA) is to be investigated by the European Commission.

BA, together with Spanish airline partner Iberia, said this month that it had signed a joint agreement with AA to co-operate on transatlantic flights. BA has requested US authorities to be given immunity from competition regulations, and notified EU authorities of its plans.

The proposed link-up has been bitterly opposed by Sir Richard Branson's airline Virgin Atlantic. Sir Richard (pictured) has described it as creating a `monster monopoly' in a deal which he says will give BA an even greater share of the market.