BIRMINGHAM - 3
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Sale of the century
The news is that Macquarie and Aer Rianta have offered their shareholding for sale (48.25%) on a joint basis. Apparently the 7 West Mids councils (49%) are staying put.
Join Date: Jan 2007
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I agree that in recent years BA has held back BHX in as much as the BHX mangement have always relied on its presence. However, it shows the calibre of management when they didn't really do any planning for its demise.
They keep putting off the decisions about the international pier rebuild. They are delaying the runway extension planning applications. This is vital to the airports growth and they can't even get that right.
They are preparing to offload more of the staff. They started with the Fire service. Offloaded to SERCO under the guise of a joint venture company.
The rumours of a sell off by the shareholders are not doing the place much good either.
I would say that it was acting more like a small regional airport than the second city gateway it should be. However, small regional airports are beginning to catch up and will be overtaking before long.
I don't think more LC ops are the answer. Low cost only give you pax numbers. The Pax have to shop to make the airport money these days. LC pax tend not to, so Pax numbers are not the holy grail they once were.
The next 18 months may turn out to be very interesting if the rumours of changes in ownership pan out as true.
They keep putting off the decisions about the international pier rebuild. They are delaying the runway extension planning applications. This is vital to the airports growth and they can't even get that right.
They are preparing to offload more of the staff. They started with the Fire service. Offloaded to SERCO under the guise of a joint venture company.
The rumours of a sell off by the shareholders are not doing the place much good either.
I would say that it was acting more like a small regional airport than the second city gateway it should be. However, small regional airports are beginning to catch up and will be overtaking before long.
I don't think more LC ops are the answer. Low cost only give you pax numbers. The Pax have to shop to make the airport money these days. LC pax tend not to, so Pax numbers are not the holy grail they once were.
The next 18 months may turn out to be very interesting if the rumours of changes in ownership pan out as true.
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Well thats not surprising I suppose. The councils reap rewards with no input or cost. They do whatever the other partners tell them to do. So it's win win for them.
Join Date: Mar 2006
Location: BHX
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They've had BHX as the 4th most expensive airport in the WORLD, and the MOST expensive in Europe, so they must have made a substantial amount of money considering that since T2 (Eurohub) opened there has only been minimal spending on infrastructure. Now the crunch time has come and investment is inevitable (even if it is 15 odd years overdue) they want out, leaving a huge cash injection needed by any potential buyer.
Call100 is correct, the calibre of management at BHX has always seemed very poor, but have they had thier hands tied by the owners? AA were once BHX's flagship carrier, yet when they pulled out nobody seemed to be bothered as there was still CO there
, long haul charter has been in massive decline with only a pathetic gesture by TOM left (for now), other 'full service' carriers have been and gone AZ,OK etc but absolubtly nothing from BHX except one pathetic excuse after another as to why pax numbers were down
What BHX needs is new owners/management with ambition, vision, forsight, enough balls to stand up to the local nimby's and most of all deep pockets, as all those missed opportunities over the last 20 odd years are really holding BHX back, and it will always be playing catch up
Call100 is correct, the calibre of management at BHX has always seemed very poor, but have they had thier hands tied by the owners? AA were once BHX's flagship carrier, yet when they pulled out nobody seemed to be bothered as there was still CO there
, long haul charter has been in massive decline with only a pathetic gesture by TOM left (for now), other 'full service' carriers have been and gone AZ,OK etc but absolubtly nothing from BHX except one pathetic excuse after another as to why pax numbers were down What BHX needs is new owners/management with ambition, vision, forsight, enough balls to stand up to the local nimby's and most of all deep pockets, as all those missed opportunities over the last 20 odd years are really holding BHX back, and it will always be playing catch up
Join Date: Mar 2006
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BHX Sale press release
Birmingham International Airport (BIA) today paid tribute to the
significant development of the Airport since Aer Rianta International
obtained a shareholding in 1997 and Macquarie Airports Group obtained
a shareholding in 2002.
BIA also acknowledged the continuing commitment of the seven West
Midland District Councils, the Airports main shareholders, to ensure
that BIA continues to play a fundamental role in the economic success
of the Region.
Back in 1996 there were just 5.4 million passengers travelling
through BIA – compared with 9.4 million in 2005. Such tremendous
growth has only been achieved through all the shareholders working in
partnership to deliver a comprehensive investment and improvement
programme, which has provided BIA with the additional capacity and
facilities demanded by the region.
More than £250M has been invested in the sustainable development of
BIA over the last decade, despite a variety of global shocks – and
this massive vote of confidence has ensured that the region can
continue to compete on the World stage.
BIA's Managing Director, Richard Heard, said: "Under the current
public/private partnership shareholding arrangements, Birmingham
International Airport has grown and developed in stature tremendously
over the last ten years. The Airport now directly supports some
11,000 jobs and directly contributes over £200m per annum to the
Midlands economy. Beyond those direct impacts, our role in providing
the international connectivity to support other businesses, inward
investment and regeneration is even more significant. All that has
been achieved in a sustainable manner, with some of the strictest
environmental policies of any airport in the UK.
The Airport Company looks forward to the development of new
shareholding arrangements with the active involvement of the District
Councils, but otherwise, it is very much `business as usual' as the
Company remains committed to providing the outstanding international
airport and network of international connections that the region
wants and deserves."
significant development of the Airport since Aer Rianta International
obtained a shareholding in 1997 and Macquarie Airports Group obtained
a shareholding in 2002.
BIA also acknowledged the continuing commitment of the seven West
Midland District Councils, the Airports main shareholders, to ensure
that BIA continues to play a fundamental role in the economic success
of the Region.
Back in 1996 there were just 5.4 million passengers travelling
through BIA – compared with 9.4 million in 2005. Such tremendous
growth has only been achieved through all the shareholders working in
partnership to deliver a comprehensive investment and improvement
programme, which has provided BIA with the additional capacity and
facilities demanded by the region.
More than £250M has been invested in the sustainable development of
BIA over the last decade, despite a variety of global shocks – and
this massive vote of confidence has ensured that the region can
continue to compete on the World stage.
BIA's Managing Director, Richard Heard, said: "Under the current
public/private partnership shareholding arrangements, Birmingham
International Airport has grown and developed in stature tremendously
over the last ten years. The Airport now directly supports some
11,000 jobs and directly contributes over £200m per annum to the
Midlands economy. Beyond those direct impacts, our role in providing
the international connectivity to support other businesses, inward
investment and regeneration is even more significant. All that has
been achieved in a sustainable manner, with some of the strictest
environmental policies of any airport in the UK.
The Airport Company looks forward to the development of new
shareholding arrangements with the active involvement of the District
Councils, but otherwise, it is very much `business as usual' as the
Company remains committed to providing the outstanding international
airport and network of international connections that the region
wants and deserves."
Join Date: Mar 2006
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BHX Sale
There was an interview with a member of Birmingham Chamber of Commerce on local radio today and he was putting forward the case of full control being taken by the local councils again, and trying his best to sound positive.
The general assumtion was, that BHX is in desperate need of major investment, for which the investor would have to wait a considerable amount of time before seeing any return. This is putting potential private buyers off as they are not interested in runway and terminal extensions "because the region needs and deserves them" but would only invest to see a return. I think the runway extension was quoted at around £125 million and basically, if the councils take ownership, it will be the local taxpayer who foots the bill.
On a side issue, if the new buyer is not willing to invest the money needed then it could mean that BHX's masterplan is pretty much out of the window. Even if the local councils take control it's difficult to see them funding the runway extension, the A45 diversion/tunnel, the new piers, ATC tower and new taxiways that are mentioned in the plans, let alone a new terminal and new runway.
So many missed opportunities over the years and now they could finally be coming back to kick BHX up the ar$e, if it wasn't my local airport it'd be comical
The general assumtion was, that BHX is in desperate need of major investment, for which the investor would have to wait a considerable amount of time before seeing any return. This is putting potential private buyers off as they are not interested in runway and terminal extensions "because the region needs and deserves them" but would only invest to see a return. I think the runway extension was quoted at around £125 million and basically, if the councils take ownership, it will be the local taxpayer who foots the bill.
On a side issue, if the new buyer is not willing to invest the money needed then it could mean that BHX's masterplan is pretty much out of the window. Even if the local councils take control it's difficult to see them funding the runway extension, the A45 diversion/tunnel, the new piers, ATC tower and new taxiways that are mentioned in the plans, let alone a new terminal and new runway.
So many missed opportunities over the years and now they could finally be coming back to kick BHX up the ar$e, if it wasn't my local airport it'd be comical
Last edited by AMM626; 16th Jan 2007 at 12:55. Reason: forgot to add something, doh!
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I ageree. I can't see the masses of the West Midlands population being hapy with £125+ million of their taxes being spent to extend an airport. Airports are hot potatos anyway in local politics. It wouldn't be long before the hospitals and schools mantra came out, which would leave all concerned in a very awkward position.
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Have Sunair ceased the Billund flight into Birmingham? I know it usually stops over the holiday period but hasn't operated since mid-December (Manchesters Sunair flights are currently operating). I believe there were plans to go double daily on the route.
However, as the flight was quite often operated by a Jetstream rather than a Dornier as planned, i'm guessing the passenger numbers were not that good (a problem going double daily may have solved?)
Fried Chicken
However, as the flight was quite often operated by a Jetstream rather than a Dornier as planned, i'm guessing the passenger numbers were not that good (a problem going double daily may have solved?)
Fried Chicken
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Billund
FC
I had noticed that it had gone but nothing mentioned locally.
It is back in the booking engine and timetable from the 25 or 26th of Feb.
No sign of the morning flight this winter.
OP
I had noticed that it had gone but nothing mentioned locally.
It is back in the booking engine and timetable from the 25 or 26th of Feb.
No sign of the morning flight this winter.
OP
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CO summer 2007
It appears BHX has just the one flight a day this summer.
The updated CO summer 2007 timetable per other forums are showing the two "spare" 777's going to FRA & BRU, with the 764's off to MXP and GVA. The 762's then go to ATH (new route) and Dublin. Madrid gets a second daily flight as 757.
Another year maybe - not a good week thus far!
OP
The updated CO summer 2007 timetable per other forums are showing the two "spare" 777's going to FRA & BRU, with the 764's off to MXP and GVA. The 762's then go to ATH (new route) and Dublin. Madrid gets a second daily flight as 757.
Another year maybe
- not a good week thus far!OP
Join Date: Jan 2007
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I think a few of the senior management are a bit worried about the possible sale. They are pushing the business as usual line a bit harder than expected. i suspect a few heads nearer the top of the tree to be dispatched should the sale go ahead.
I also suspect that the amount of investment required to make it the airport it should be would put many off.
although spouting about encouraging long haul they are busy turning everything low cost.
The business has covered everything done so far. The investors (?) have not exactly given large cash injections to fuel growth on a major scale.
Maquerie pulling out because it needs to cover activity at other airports. Not exactly a glowing reference for the potential at BHX.
The staff moral is at an all time low, even before the sell off rumors began.
All they have to look forward to is more contracting out.
The consensus of staff opinion is that they would like to see Branson buy into the business. Whether this would make a difference or not I don't know. I suspect the staff are just grasping at straws. One thread throughout conversations is that if that lot at Diamond House are first to go then at least some justice would be served.
It really is a sorry state of affairs for what should be a Premier gateway to the UK.
I also suspect that the amount of investment required to make it the airport it should be would put many off.
although spouting about encouraging long haul they are busy turning everything low cost.
The business has covered everything done so far. The investors (?) have not exactly given large cash injections to fuel growth on a major scale.
Maquerie pulling out because it needs to cover activity at other airports. Not exactly a glowing reference for the potential at BHX.
The staff moral is at an all time low, even before the sell off rumors began.
All they have to look forward to is more contracting out.
The consensus of staff opinion is that they would like to see Branson buy into the business. Whether this would make a difference or not I don't know. I suspect the staff are just grasping at straws. One thread throughout conversations is that if that lot at Diamond House are first to go then at least some justice would be served.
It really is a sorry state of affairs for what should be a Premier gateway to the UK.
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Have just been told that BHX MD Richard Heard died in a car crash this morning.
No further details atm, but sympathies to his family and colleagues at the airport. Doesn't get any easier.
No further details atm, but sympathies to his family and colleagues at the airport. Doesn't get any easier.
Join Date: Jan 2007
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I can confirm that the Tragic news about Richard Heard is unfortunately true. Apparently a Tree branch went through the windscreen of his car.
My condolences to his family.
My condolences to his family.
Last edited by call100; 18th Jan 2007 at 11:28. Reason: New information
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Sad details here
http://news.bbc.co.uk/2/hi/uk_news/england/6273773.stm
http://news.bbc.co.uk/2/hi/uk_news/england/6273773.stm
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very sad
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I see Aerosvit are to axe their BHX flights for the time being, at a time when loads were improving too. I think there are now too many airlines pushing routes to Asian continent (Air India, Pakistan, Turkmenistan, Uzbekistan, Air Slovakia, Mahan, Aerosvit) & thus, a saturation point has been reached.
However, Aerosvit could always advertise links to Russia & apparently, Kiev is a nice city.
WNC
However, Aerosvit could always advertise links to Russia & apparently, Kiev is a nice city.
WNC
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Kiev
WNC
S*** law, as the December CAA stats show 969 pax, which is the
best so far. This averages out around 60 per flight depending on the number of rotations they made.
Is it a suspension or termination, there seems some confusion, as it was
rumoured to come back in April just before BHX's Asian flights tail off for
a few months (May-July)?
I read on another forum that Mahan Air were set to increase their
frequencies, as the number of connections had increased to Pakistan.
The CAA stats would suggest they need something as it only
averages 80 odd most months and 120 at best.
OP
S*** law, as the December CAA stats show 969 pax, which is the
best so far. This averages out around 60 per flight depending on the number of rotations they made.
Is it a suspension or termination, there seems some confusion, as it was
rumoured to come back in April just before BHX's Asian flights tail off for
a few months (May-July)?
I read on another forum that Mahan Air were set to increase their
frequencies, as the number of connections had increased to Pakistan.
The CAA stats would suggest they need something as it only
averages 80 odd most months and 120 at best.
OP
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BHX Future uncertain
The sad death of Richard Heard may well have long term implications for BHX, most notably in the growth in infrastructure planned. Apparently he was very much the driving force behind the controversial second runway proposal, and many of his senior colleagues' support for it was lukewarm to say the least.
On a shorter term basis, it looks like the security staff are set to follow the cleaners and fire fighters in being outsourced.
On a shorter term basis, it looks like the security staff are set to follow the cleaners and fire fighters in being outsourced.
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They have resisted outsourcing Security for years. However the recent rise in costs is obviously having its toll. The security structure from a staff level is ludicrous. Contracts and hours are constantly being reinvented to fit holes in the cover at the cheapest possible rate..
On another note. If the Runway is not extended then the airport will drop out of the race. They keep umming and ahhing about the International pier which looks like something straight from the old Easten block.
Unless they improve that then the likes of Emirates will pull the plug.
Low cost seems to be the continuation of short termism thats rife in the corridors of Diamond House.
The only hope is that new owners with money and ideas beyond the present set up arrive soon. If they are not forward thinking and in for the long haul (Sorry!) Then the UK's second city will end up with a second rate airport.
Congratulations to EMA on winning best regional airport....
On another note. If the Runway is not extended then the airport will drop out of the race. They keep umming and ahhing about the International pier which looks like something straight from the old Easten block.
Unless they improve that then the likes of Emirates will pull the plug.
Low cost seems to be the continuation of short termism thats rife in the corridors of Diamond House.
The only hope is that new owners with money and ideas beyond the present set up arrive soon. If they are not forward thinking and in for the long haul (Sorry!) Then the UK's second city will end up with a second rate airport.
Congratulations to EMA on winning best regional airport....
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IMHO BHX is already a second rate airport that relies on a few heavyweight names (AI, CO, EK), is about to lose BA (the airline that had BIA management wrapped round its finger thereby stifling effective airline competition or route development) and has VERY belatedly embraced the loco market having been left behind for dust by the likes of EMA, BRS, LPL etc. Its a shambles that I fear will only get worse since the sad news about Richard Heard (who had the foresight to realise that without extra runway length BHX will go nowhere - hence the departure of FCA long haul and who knows possibly others).
I worked for BIA plc in both the terminals and in Diamond House for three yrs between 2002-2005. In terms of the staff as a whole, well I had never worked with such a bunch of great people or have since, but it terms of long term planning and market awareness, what a joke, great ideas held back by council bureaucracy, union opposition (sorry but its true) and the overriding mindset of BHX being somehow superior to all its competitors, after all we have BA, LH and AF, we don't need the like of Ryanair or those other pesky cheapo airlines, passengers won't go to EMA they'll always use us, thats right, lets just stick our heads in the sand and it'll all be OK. Well its not OK and the lack of foresight from years of ignoring the inevitable is now there for all to see. And by the way, why does BHX have a security queueing corral smaller than that of most airports that handle half the pax often leading to queues of pax back to Frankie and Bennys (and that happened regularly while I worked there so its not all to do with all the changes in security procedures)
I worked for BIA plc in both the terminals and in Diamond House for three yrs between 2002-2005. In terms of the staff as a whole, well I had never worked with such a bunch of great people or have since, but it terms of long term planning and market awareness, what a joke, great ideas held back by council bureaucracy, union opposition (sorry but its true) and the overriding mindset of BHX being somehow superior to all its competitors, after all we have BA, LH and AF, we don't need the like of Ryanair or those other pesky cheapo airlines, passengers won't go to EMA they'll always use us, thats right, lets just stick our heads in the sand and it'll all be OK. Well its not OK and the lack of foresight from years of ignoring the inevitable is now there for all to see. And by the way, why does BHX have a security queueing corral smaller than that of most airports that handle half the pax often leading to queues of pax back to Frankie and Bennys (and that happened regularly while I worked there so its not all to do with all the changes in security procedures)