BMI
Join Date: Oct 2004
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I say again IAG is NOT an airline. Had BA wished to buy BMI, (to merge the two) they could, and would. However that is not what is being rumoured here!
IMHO read between the lines!
IMHO read between the lines!
Join Date: Apr 2004
Location: UK FIR
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Mallard has it about right.
From what I hear Iberia have spare airframes knocking around which could fill any shortfall that BA might have. Even then would it be cheaper to buy an expensive loss making airline or ACMI extra lift in to maintain the slots? None of us will know the answer to that one, but worth giving some consideration to.
From what I hear Iberia have spare airframes knocking around which could fill any shortfall that BA might have. Even then would it be cheaper to buy an expensive loss making airline or ACMI extra lift in to maintain the slots? None of us will know the answer to that one, but worth giving some consideration to.
Join Date: Feb 2001
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IAG BA call it what you like, it will still run into problems with the regs, IAG buying bmi and keeping it separate makes no sense other than stopping another buyer, i still think that DLH will not walk away from a very important STAR hub, but when they flog (if GAWZK!!) baby & Regional they may buy some time to sort bmi out, but its been pointed on here before if LH can't sort who can, not VS for sure, now Emirates would be another matter!!
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IAG BA call it what you like, it will still run into problems with the regs
Even if BA were to retain all the slots (unlikely) they would still hold a smaller percentage at LHR than LH at FFM, AF at CDG, KLM at AMS, etc. So what would be the objection?
Join Date: Feb 2001
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For a start it would mean that BA would have 100% of all domestic flights in the UK other than NI with air lingus, BA track record on the regions is not good. It matters not what LH have at FRA or AF/KLM at CDG/AMS the UK has its own way of seeing these things!!
Join Date: May 2005
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The only routes BA and BD both operate are ABZ (6 x e145), MAN(reduced winter and mainly E145) and EDI (6 daily 319), doubt that is enough for a deal to be stopped. EU didn't stop LH buying SN, BD, OS or LX wiping out lots of intra Europe competition, so doubt they'll stop BA.
Ah yes, would that be the BA, the major operator from London to the UK regions from Heathrow, Gatwick and City, the BA who added capacity to Glasgow as soon as BMI pulled out, rather than just maintaining service and doubling their prices ? Remind me what was the last route from London to the regions BA abandoned (I think it was Belfast back in 2001), compared to BMI dumping Leeds, Teesside and Glasgow in recent times. BA even have an investment in FlyBe, with their hubs at Birmingham, Manchester, Glasgow and Belfast.
Actually it does matter. If either the UK Govt, or especially Brussels, require any slots to be given away yet again, then IAG going for a judicial review showing how the various authorities have cheerfully allowed AF to take others over and dominate Paris, or likewise Lufty at Frankfurt, but don't want BA to have a lesser dominance at Heathrow, would be a powerful legal argument.
It matters not what LH have at FRA or AF/KLM at CDG/AMS the UK has its own way of seeing these things
Join Date: Aug 2008
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BA dumped Leeds to Heathrow before British Midland took over the route. Hopefully any merger will be ruled out on competition grounds as Walsh would take the LHR slots and wind down everything else.
Join Date: Apr 2004
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Inky, there is a significant, fundamental difference between BA and IAG.
If IAG buy the slots, and not BA, then it is IAG who will decide which of it's companies will use those slots. There is still enough choice on internal flights into London and SE England airports from easyJet & flyBE. The new owners of bmiBaby and Regional may also constitute competition, combine that with Tories in government and I find it unlikely that the UK government would raise many objections.
These are not happy days for anyone at bmi group, and I can understand more than most what uncertainties the current situation brings to families. I would only hope that the management understand this and show some uncharacteristic leadership and communicate with the staff.
If IAG buy the slots, and not BA, then it is IAG who will decide which of it's companies will use those slots. There is still enough choice on internal flights into London and SE England airports from easyJet & flyBE. The new owners of bmiBaby and Regional may also constitute competition, combine that with Tories in government and I find it unlikely that the UK government would raise many objections.
These are not happy days for anyone at bmi group, and I can understand more than most what uncertainties the current situation brings to families. I would only hope that the management understand this and show some uncharacteristic leadership and communicate with the staff.
Join Date: Oct 2004
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apaul
Very interested to hear what you think the alternative is? I accept that so far much is unknown, but it seems quite likely that others who want BMI can't afford it. Those that can afford it, are not obviously wanting it??
If IAG (or anyone, frankly!) do wish to buy this failing airline, it might be foolish to hope any purchase fails?? Otherwise, the current owners have little choice but to do exactly what you suggest.
Hopefully any merger will be ruled out on competition grounds as Walsh would take the LHR slots and wind down everything else.
If IAG (or anyone, frankly!) do wish to buy this failing airline, it might be foolish to hope any purchase fails?? Otherwise, the current owners have little choice but to do exactly what you suggest.
Join Date: May 2002
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The only routes BA and BD both operate are ABZ (6 x e145), MAN(reduced winter and mainly E145) and EDI (6 daily 319), doubt that is enough for a deal to be stopped
Moscow
Berlin
Vienna
Nice
Cairo
Riyadh
Jeddah
Basel
Tripoli (when it restarts!)
Marrakech (BA from LGW)
Join Date: Jan 2008
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I think the reason why it's IAG bidding is that under the IAG group structure M&A activity and decision making sits in IAG centre, rather than individual operating companies which, in the context of IAG, is what BA is.
BD could initially sit under IAG as a separate airline operating under the BA brand under licence.
The Financial Times is also reporting that Virgin has held talks with EY about a possible partnership if Virgin bids for bmi. The FT claims the deadline for bids was last Friday.
BD could initially sit under IAG as a separate airline operating under the BA brand under licence.
The Financial Times is also reporting that Virgin has held talks with EY about a possible partnership if Virgin bids for bmi. The FT claims the deadline for bids was last Friday.
Join Date: Aug 2002
Location: London (Babylon-on-Thames)
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Racedo you are usually good sport but please, a combined IAG / BD LHR operation is still comparably less dominany than the equivalent KLM operation at AMS, AF at CDG or LH at FRA as I am sure you know, SRB can moan but BA can help a lot of people avoid the dole here. Is a middle east hobby airline going to do any better? unlikely!
Join Date: Apr 2004
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BA can help a lot of people avoid the dole here
Much as it is unpalatable, the jury is still out on whether IAG would want or need much of the current BD operation.
Then again mainline is supposed to be getting a new A330.
Join Date: Mar 2008
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Surely what any interested party wants is the slots? Not the pension fund, not the fleet, not the flight crews and not the 2000+ staff dotted around the route network and at head office. I can't see a buyer that will give Lufthansa a clean break and there all sorts of legal problems involved in just selling the slots and giving everyone 3-6 months notice, they would have to shut down overnight? it would go into meltdown, with snow ploughs parked in front of them where ever they touched down ( well not LHR they haven't enough)
How many people work at the Castledonington HQ? this would be the equal of the train maker that lost the order to Siemens
I will be gobsmacked if Lufthansa went down that route, my hats in the IAG won't get it ring
How many people work at the Castledonington HQ? this would be the equal of the train maker that lost the order to Siemens
I will be gobsmacked if Lufthansa went down that route, my hats in the IAG won't get it ring