Dividend policy statement:

It has been the stated intention of IAG to distribute regular dividends to our shareholders in the medium and long term, in an amount appropriate to market conditions, depending on a number of factors, including but not limited to, the earnings of the company, financial conditions, cash requirements and prospects and legal requirements.

The Company has made significant progress during 2014 and we remain confident in meeting our 2015 financial targets which we see as the trigger to introducing a dividend.

Therefore we anticipate making a declaration in 2015 as the first step in our plan to introduce a sustainable dividend payment.

The initial dividend would be based on a payout ratio of 25% of our underlying profit after tax.

7 November 2014