PPRuNe Forums - View Single Post - easyJet to buy Deutsche BA?
View Single Post
Old 8th May 2002, 19:19
  #23 (permalink)  
In trim
 
Join Date: Jul 2001
Location: London
Posts: 389
Likes: 0
Received 0 Likes on 0 Posts
The DBA thing makes a lot of sense. The purchase price is very cheap for an established operation......as long as EZY are convinced they can turn that loss into a profit!

The DBA staff I presume are aware that something like this was inevitable. BA don't want them, the cost of shutting down the operation is too high (especially in the German labour market), so BA are inevitably going to look for a buyer.

There are a few fundamental areas in terms of scheduling, aircraft utilisation, and eventual link-ups with other stations on the EZY (and Go!) network which would immediately bring synergies to the combined operation.

EZY were obviously looking at the German market, and this is a logical way in.....and the terms of the option are such that they can have a good look at the DBA operation, decide whether it could be adapted to the eJ low-cost model (which will need the buy-in of the staff) before making a decision. Not a bad 'try before you buy' option!

In trim.
In trim is offline