We haven’t done formal due diligence yet; neither have they. That will start now. The big issue for IAG is how they are going to get this past the regulators because, on 60pc of the routes that BA and BMI fly together, there will be no competition. A lot of business people and travellers in the regions will be concerned. About 1.6m passengers every year connect through Heathrow just from Aberdeen, Manchester and Edinburgh and they will no longer have a choice if British Airways is successful because the only carrier on the route will be British Airways.”
This utter claptrap angers me. He's talking like there's a lot of them. Two below are really partner routes BSL is Swiss, VIE is Austrian and frankly Berlin is more suited to Lufthansa. All will have competition. The only routes without competition are UK domestics but there is healthy competition out of LGW, STN, LTN and LCY. Ridgeway is a poor CEO if he thinks the list below raises major issues of consumer choice.
Routes with BA and BD head to head :
LHR-ABZ
LHR-EDI
LHR-MAN
LHR-BSL ( LX really, was moved from LCY and given to BD )
LHR-TXL ( LH route )
LHR-VIE ( OS really, slots given up on LH buy out of OS ) Existing OS competition
LHR-CAI : Strong competition from Egyptair on new B777-300ERs
LHR-DMM : Strong competition from Saudia
LHR-JED
LHR-RUH
Imagine Virgin trying to take over BMI. I mean just think about the balance sheet. Does the world have enough red ink?
Think of Singapore's reaction as more of their investment in VS disappears. Think of the stunning success of Virgin Express.
Think of BD in T1 and VS in T3.
Who is this man trying to fool?
This is Pan Am / National territory. There are NO synergies. Virgin's big new idea is 4 weekly against Air Canada and BA on LHR-YVR. FOUR WEEKLY?
Utter tosh, all mouth no trousers. VS are getting a reputation for spin before action every time, no wonder their advertising is set in the 80s!