RPT-BA, Iberia nearing merger agreement-Sky

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LONDON, Nov 11 (Reuters) - British Airways PLC (BAY.L) and Spanish airline Iberia (IBLA.MC) could announce a merger agreement as early as this week, Sky News reported on Wednesday citing unidentified sources.

"We've been talking with Iberia for some time. Our only comment on the matter is these talks continue," a BA spokeswoman told Reuters when asked to comment on the report.

Iberia could not immediately be reached by Reuters for comment. (Reporting by Alex Lawler and Paul Day; editing by Carol Bishopric)