cavokblues
But the basis that the slots were granted is quite clear;
1.1.3. Grandfathering rights
644. As a general rule, the slots obtained by a prospective entrant must be operated on the city pair(s) for which they have been requested from IAG and cannot be used on another city pair
unless the prospective entrant has operated them during at least six full consecutive IATA seasons ("the Utilisation Period").272 The prospective entrant would be deemed to have grandfathering rights for the slots once appropriate use of the slots has been made on the city pairs at issue, for the Utilisation Period. Once the Utilisation Period has elapsed, the prospective entrant would be entitled to use the slots obtained on the basis of the Commitments exclusively to operate services on any route connecting London with any other part of Europe (including Aberdeen and Edinburgh), or on London-Moscow, London-Cairo and London-Riyadh.
645.
During the Utilisation Period, the prospective entrant shall not be entitled to transfer, assign, sell, swap or charge in breach of the Commitments any slots obtained from IAG (except for changes to any such slots which are within the twenty/sixty minutes time window and which have been agreed with the slot coordinator.). Provisions on misuse of slots also apply. In the event of a misuse, the prospective entrant shall have thirty days after such notice to cure the misuse, failure to which gives IAG the right to terminate the agreement and obtain restitution of the slots.
EC Ruling
So for the slots to become Flybe’s they would have to
operate them for 6
full concecutive IATA seasons. Flybe were in their 6th season at LHR when they failed, but hadn’t completed the full season. And obviously haven’t operated the slots for the subsequent 2 IATA seasons since.
Even if Flybe’s Administrators win their case, which I have my doubts about, they can only ever be operated to European destinations, plus Moscow, Cairo or Riyadh. So that eliminates their appeal to the types of airline that have recently been spending big money for LHR slots.
Also explains why the old story that Virgin Little Red was just a ruse to get the slots for long haul never held water, and why Virgin never completed the 6 seasons to be able to convert the slots. They would have been able to use them elsewhere, but never outside those geographic restrictions.