British Airways parent International Airlines Group (IAG) has completed the purchase of bmi from Lufthansa.

Under the terms of the deal, bmi mainline will be integrated into British Airways. Consultation has begun with bmi mainline staff and their trade unions.

In a statement issued today, IAG confirmed that it will also acquire the businesses of bmibaby and bmi regional for a significant price reduction. 

The carrier confirmed that bmibaby and bmi regional are not part of IAG’s long term plans and will not be integrated into British Airways.

IAG said: “IAG is pursuing options to exit these businesses and more details are expected to be released in due course.”

“The costs associated with exiting these businesses, including the impact of operating them in the short term, are expected to be offset by the price reduction.”

IAG will update investors about the bmi integration plan at its Q1 results on May 11, 2012.