BMI
Join Date: Aug 2007
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To all of the bmi Manchester folks, I just want to say how gutted I am for you all. I fly MAN-ORD-MAN a few times a year and time and time again I have had the pleasure to meet and deal with some great people on the ground and in the air.
I've got one last return in December, so will at least get a chance to see a few familiar faces and say thankyou in person.
I've got one last return in December, so will at least get a chance to see a few familiar faces and say thankyou in person.
Join Date: Jul 2004
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[/QUOTE]Manchester long haul - message from Nigel Turner, ceo
5 November 2008
Dear colleagues
In the extraordinary economic and trading climate that we are in today, it is even more important to ensure that we review the performance of the business to ensure that our assets and resources are utilised in the best way to deliver growth in passengers, revenues and profitability.
The Manchester long haul operation began in 2001 due to our inability to access the Heathrow-USA market. The UK Government had indicated in 2000 that they were prepared to agree a deal with the USA to open Heathrow gradually to competition, but lobbying by BA and Virgin at the last minute hoodwinked them into changing their minds, leaving us with only Manchester services to the USA for our aircraft.
Nevertheless, Chicago has generally been a success up to this year, when a combination of higher fuel prices, increased competition from both American Airlines in Manchester and some impact of additional capacity to the USA as a result of open skies at Heathrow has had a serious negative impact on the results. The reduction in seats due to the introduction of lie-flat beds in business class and a world leading premium economy cabin late last year has regretfully led to no significant increase to overall revenue, and we have been unable to generate an improved price for our much improved premium products in the Manchester market. Unfortunately it does seem that Manchester cannot deliver the levels of premium business that are available from the London market.
The disappointing revenue performance reflects our best-in-class product being more than offset by people being increasingly careful with money and downtrading. Equally it appears the Manchester long haul market has become significantly more price sensitive in the economy cabin with people buying purely on price.
The Caribbean and Las Vegas routes have always been difficult to see a long term future for. They are principally leisure routes, are operationally crew hungry and inefficient and have large seasonal fluctuations. Despite significant efforts to boost revenue and volume over the past year we have been unable to make any significant improvements and have insufficient high yielding premium passengers to make the service profitable.
In contrast, a number of our mid haul routes from Heathrow are performing very strongly and have clear potential for further growth in volumes and higher yielding business and premium passengers. We have therefore concluded that we should transfer the two A330 aircraft currently operating at Manchester to Heathrow in order to eliminate further expected losses from Manchester next year, but more importantly to give further impetus to our mid haul strategy at Heathrow. Cairo and Amman will be the routes upgraded to an A330 from next spring which will put them on a par with our principal competitors on the routes. In the current marketplace we do not consider it wise to be taking on any additional aircraft capacity and hence we have no alternative option if we are to develop the Heathrow mid haul routes further in the short term.
This redeployment of aircraft will obviously impact on operational staff based in Manchester and we are today commencing a 90 day consultation period with all union and staff groups affected, with a view to minimising the consequences. There will be additional jobs at Heathrow created as a result which Manchester staff will be able to take up if they wish. A small number of overseas jobs will also be impacted.
Communication to the trade and passengers will also commence today to ensure reaccommodation as required. Services to Chicago will cease on 15 January 2009 and to the Caribbean/Las Vegas in April 2009 after the peak Easter season has finished.
I am sure that like me, many of you will be disappointed to see these services end. The product delivered has been outstanding and I thank all of you who have been involved in making it happen. We do, however, have to make decisions that are in the best interests of the business and I am sure this is the right thing to do in the current circumstances.
Kind regards
Nigel Turner
chief executive officer[/QUOTE]
No surprises here this had to be the worst kept secret for ages, as all MAN crew have known this for over a week.
Am i surprised that its been a shambles ..........not at all.
Best of luck to all concerned at MAN crew, ground staff etc.
5 November 2008
Dear colleagues
In the extraordinary economic and trading climate that we are in today, it is even more important to ensure that we review the performance of the business to ensure that our assets and resources are utilised in the best way to deliver growth in passengers, revenues and profitability.
The Manchester long haul operation began in 2001 due to our inability to access the Heathrow-USA market. The UK Government had indicated in 2000 that they were prepared to agree a deal with the USA to open Heathrow gradually to competition, but lobbying by BA and Virgin at the last minute hoodwinked them into changing their minds, leaving us with only Manchester services to the USA for our aircraft.
Nevertheless, Chicago has generally been a success up to this year, when a combination of higher fuel prices, increased competition from both American Airlines in Manchester and some impact of additional capacity to the USA as a result of open skies at Heathrow has had a serious negative impact on the results. The reduction in seats due to the introduction of lie-flat beds in business class and a world leading premium economy cabin late last year has regretfully led to no significant increase to overall revenue, and we have been unable to generate an improved price for our much improved premium products in the Manchester market. Unfortunately it does seem that Manchester cannot deliver the levels of premium business that are available from the London market.
The disappointing revenue performance reflects our best-in-class product being more than offset by people being increasingly careful with money and downtrading. Equally it appears the Manchester long haul market has become significantly more price sensitive in the economy cabin with people buying purely on price.
The Caribbean and Las Vegas routes have always been difficult to see a long term future for. They are principally leisure routes, are operationally crew hungry and inefficient and have large seasonal fluctuations. Despite significant efforts to boost revenue and volume over the past year we have been unable to make any significant improvements and have insufficient high yielding premium passengers to make the service profitable.
In contrast, a number of our mid haul routes from Heathrow are performing very strongly and have clear potential for further growth in volumes and higher yielding business and premium passengers. We have therefore concluded that we should transfer the two A330 aircraft currently operating at Manchester to Heathrow in order to eliminate further expected losses from Manchester next year, but more importantly to give further impetus to our mid haul strategy at Heathrow. Cairo and Amman will be the routes upgraded to an A330 from next spring which will put them on a par with our principal competitors on the routes. In the current marketplace we do not consider it wise to be taking on any additional aircraft capacity and hence we have no alternative option if we are to develop the Heathrow mid haul routes further in the short term.
This redeployment of aircraft will obviously impact on operational staff based in Manchester and we are today commencing a 90 day consultation period with all union and staff groups affected, with a view to minimising the consequences. There will be additional jobs at Heathrow created as a result which Manchester staff will be able to take up if they wish. A small number of overseas jobs will also be impacted.
Communication to the trade and passengers will also commence today to ensure reaccommodation as required. Services to Chicago will cease on 15 January 2009 and to the Caribbean/Las Vegas in April 2009 after the peak Easter season has finished.
I am sure that like me, many of you will be disappointed to see these services end. The product delivered has been outstanding and I thank all of you who have been involved in making it happen. We do, however, have to make decisions that are in the best interests of the business and I am sure this is the right thing to do in the current circumstances.
Kind regards
Nigel Turner
chief executive officer[/QUOTE]
No surprises here this had to be the worst kept secret for ages, as all MAN crew have known this for over a week.
Am i surprised that its been a shambles ..........not at all.
Best of luck to all concerned at MAN crew, ground staff etc.
Join Date: Nov 2008
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from what i've been told, we've been served 90 days notice, should here something today or within the next few. i'm shell shocked that's the only way i can discribe it. bmi are losing excellent people at man, i'm not going to be bitter and snipe about anything,
merry christmas
merry christmas
Join Date: Oct 2008
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So sorry
This is very sad for Manchester. We all knew (even us who upped everything and moved north to do MAN/IAD in 2001) Manchester was second choice - but we thought a happy one. I have worked with many brilliant AND HARD WORKING people on the A330s to ORD, IAD (and remember Toronto? Fantastic!) etc and feel very sad for them because they must feel this as a big slap in the face.
I hope now many of them will feel they can move down to London and be treated fairly if they can't.
I hope now many of them will feel they can move down to London and be treated fairly if they can't.
Join Date: Jul 2006
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Another **** way of dealing with staff - and customers!
Do we SLF north of Watford not exist in the minds of these lying toad bean counters?
The planes have been flying full - and that includes the holds - so this bull about better returns from Heathrow is just that - bull!
I know this will be cold comfort to the BMI staff - but for our city, and our region - let's hope the next company that takes a tilt at long haul direct from MAN has a bit more loyalty to its customer base!
Do we SLF north of Watford not exist in the minds of these lying toad bean counters?
The planes have been flying full - and that includes the holds - so this bull about better returns from Heathrow is just that - bull!
I know this will be cold comfort to the BMI staff - but for our city, and our region - let's hope the next company that takes a tilt at long haul direct from MAN has a bit more loyalty to its customer base!
Join Date: Mar 2007
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The planes have been flying full - and that includes the holds - so this bull about better returns from Heathrow is just that - bull!
This doesn't make it any less sad for those involved, but its a hard hard world at the moment (unless you work in a bank or for the govenrment!)
Join Date: Apr 2006
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well, to say there is no demand for business travel is bull**** for a start
Look at aa.com, and check the uptake of AA54/55. the day before travel, usually 28/30 seats in business are taken, so someone must be using them!!
US airways, take a look at US734/735, and envoy class has 98% uptake (granted a lot of them seats are used as a corporate taxi for business, but rebenue none the less, and us gets a hell of a lot of cargo on the MAN-PHL sector to the point sometimes Lufthansa/kalitta cargo have to ferry extra flights)
Continental, take a look at CO20/21 and CO100/101, and again business is full
so, yes it is bull**** that business clas out of MAN doesnt work, because these airlines are reaping the rewards for their efforts, unlike the LHR blinkered managers of BA/bmi
Next. . . . . . . .
Look at aa.com, and check the uptake of AA54/55. the day before travel, usually 28/30 seats in business are taken, so someone must be using them!!
US airways, take a look at US734/735, and envoy class has 98% uptake (granted a lot of them seats are used as a corporate taxi for business, but rebenue none the less, and us gets a hell of a lot of cargo on the MAN-PHL sector to the point sometimes Lufthansa/kalitta cargo have to ferry extra flights)
Continental, take a look at CO20/21 and CO100/101, and again business is full
so, yes it is bull**** that business clas out of MAN doesnt work, because these airlines are reaping the rewards for their efforts, unlike the LHR blinkered managers of BA/bmi
Next. . . . . . . .
Lady Lexxington
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You know as well as I do that the ORD is always full of belly freight everyday. The premium yields were pretty damn good on that route too. Lots of business (as in astra zeneca, siemens, etc) traffic.
The problem with LAS, etc was it was all package holidays, so very little yeild there.
The problem with LAS, etc was it was all package holidays, so very little yeild there.