Oneworld carriers British Airways and Iberia are to combine their freight operations into a single business division following their merger under International Airlines Group.
But the carriers state that both cargo operations will keep their current brands.
BA says the combined business will be headed by managing director Steve Gunning - the head of BA World Cargo - with Iberia Cargo chief Ignacio Díez Barturen as deputy managing director.
"By creating a single business unit, our customers will benefit from an integrated range of products and access to a wider network," says Gunning.
Díez Barturen adds that the agreement will enable the operators to combine BA's network position in North America, Asia and Africa with Iberia's in Latin America.
"The single business unit also means that we can take advantage of any joint commercial or procurement opportunities and increase the profitability of the overall group," he adds.
Together the cargo operations employ over 2,700 personnel and last year achieved turnover of some €1.1 billion ($1.6 billion).