Reports of Cuts Announcement
From today's Times...
May 02, 2003
CitiExpress faces more cost-cutting
By Russell Hotten
BRITISH Airways will today announce another round of cost-cutting at CitiExpress, its regional subsidiary, where pilots had threatened to strike.
CitiExpress, which has already gone through a restructuring, wants to save another £20 million, including £7 million this year.
David Evans, the managing director of CitiExpress, described the cost savings as critical to the airline’s future. In a statement to staff he said that “doing nothing is not an option”. He said: “The future of our regional operations is in our own hands, and we have to reduce our cost base immediately to avoid incurring losses.”
CitiExpress, formed from the merger of short-haul airlines, was restructured in an overhaul of BA’s operations after a big fall in business. BA has brought forward by six months a plan to save £450 million by next March.
About 21 routes have already been cut, along with bases at Cardiff and Leeds-Bradford airports. However, CitiExpress has begun services from London’s City Airport.
Grizly details to follow, no doubt...