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Old 28th Oct 2009, 01:06
  #551 (permalink)  
jerboy
 
Join Date: Nov 2004
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Jersey Competion Regulatory Authority fine LH £25,000

The old JERSEY - 2 thread seems to have disappeared into the ether, perhaps the mods would like to rename this JERSEY - 3 and start afresh?

I caught this on the BBC News earlier: BBC NEWS | Europe | Jersey | Competition law fine for airline

An airline [Lufthansa] has been fined £25,000 - the biggest penalty issued by Jersey's competition watchdog.
...
The watchdog told BBC News there was a "procedural infringement" when Lufthansa gained sole control in July and it needed notification of the acquisition because of the business activities in Jersey of BMI's subsidiary airline bmibaby.
What do we think about this? It seems a sure-fire way of getting LH's backs up at a time where JER is trying to hold onto the routes it has. Although technically LH should have informed the JCRA about the takeover, it seems a little short sighted in that the service to JER is not changing in any recognisable way, and that this action is in no way going to improve LH/BD/WW's relationship with the island.

£25,000 is of course peanuts to a company the size of LH, but it has to be remembered that this figure is likely to be a sizable chunk of the profits WW make into and out of the island. That is if WW are operating profitably here at all...

Although the States of Jersey have been generous to BD in the past, subsidising the now defunct JER-LHR service, I just cannot see how this is in any way constructive? Perhaps they'd rather see WW pull off the routes and leave BE to take them over with even higher fares, like so many others in the past?
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