Striking cabin personnel have forced Spanish airline Iberia to cancel around 370 flights on Tuesday and Wednesday.

Unions called a two-day strike after protracted negotiations over a new collective labour agreement ended without a deal. Some 40,000 domestic and international passengers will be affected by the strike.
 

At the end of last month, a two-day strike by Iberia cabin crews forced the airline to scrap around 400 flights. Earlier this year the Spanish airline, which is holding merger talks with British Airways, said 2008 profits dropped by 90 percent. The company blamed falling passenger numbers on the global economic crisis.

Iberia recently announced substantial cutbacks; wages will be frozen for the coming two years and a number of jobs will be cut. The airline has also announced plans to launch a cut-price subsidiary airline for short- and medium-haul flights. Iberia will concentrate on long-haul flights to Latin America.