(BRUSSELS) - The European Commission launched an anti-trust probe on Friday into a recent agreement between American Airlines, British Airways and Iberia to cooperate on transatlantic flights.

"The commission has opened an own-initiative investigation under EU antitrust rules into the intended cooperation agreement between BA, Iberia and AA," a statement said.

The three airlines said on August 14 that they had signed an agreement to cooperate on flights between North America and Europe to help them to overcome soaring fuel costs.

The venture between American Airlines, BA and Iberia comes as British Airways and Spain's national carrier are also discussing separate plans for a multi-billion-dollar merger.

Rival airline Virgin Airways welcomed the commission's probe.

"The European Commission have rightly begun an investigation, under their own initiative, because they understand that consumers will be worse off if this alliance proceeds," Virgin Atlantic chief executive Steve Ridgway said in a statement.

"The proposals would create a monster monopoly, which would mean that BA/AA and Iberia would be way too dominant on key routes into and out of (London's) Heathrow airport," he added.

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