For now, the loan means that Iberia will have the option of a 20% stake in Air Europa.
The new public airline could keep its headquarters in Llucmajor, thus ensuring the preservation of the largest possible number of jobs.
The contract signed in 2019 is cancelled due to Brussels' refusal but they are reworking the agreement.
As soon as Brussels' position is official, both Iberia (IAG) and Globalia (Air Europa) will try to resolve the deal.
Round trip flights (mainland to the Balearics and back) from 28 euros.
The Globalia headquarters in Llucmajor.
Hotels in the Dominican Republic are apparently also being offered as guarantee.
The sale of Air Europa comes with strings attached.
Iberia will pay 500 million euros but not until 2026.
There is an increasing possibility that the Spanish government could end up becoming Air Europa's major shareholder.
There would have to be one year of integration and three years during which Air Europa as a business would have to be maintained.
The Sepla pilots union at Iberia believes that the acquisition will be a positive factor in enabling expansion and consolidation.
Strikes last weekend caused the cancellation of more than 350 flights.
Iberia has been warned in the past about its "no-show" clause.