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Old 20th Sep 2011, 19:29
  #2681 (permalink)  
 
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Sure - but not so many people would travel to/via Doha or Amsterdam if it weren't for the airlines based there who have a strong hub/spoke there. If BMI is in the alliance system, which it is, and maintains links with LH etc - then it could quite easily make a BHX system work, me thinks.
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Old 20th Sep 2011, 19:54
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LH may have a very talented management team, but they have not deployed them at bmi. If LH had been committed to bmi they would have immediately instigated an overhaul of its revenue management, website, call centre, brand positioning, marketing/comms.

And regarding its slots. bmi may have the second largest holding but they're not that lucrative. BA estimates only a third are suitable for long haul ops.
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Old 20th Sep 2011, 19:58
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'BA Estimates' - these are for BA uses. But sell them to MULTIPLE long haul guys, they can soon become all useful for long haul without much issue.
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Old 20th Sep 2011, 20:34
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'BA Estimates' - these are for BA uses. But sell them to MULTIPLE long haul guys, they can soon become all useful for long haul without much issue.
I'd say it's the other way around. An early morning departure slot is of no use to a long-haul operator, nor is a late night arrival slot. The slots were, I understand, analysed in the context of the competitive risk of bmi being acquired.

Now there's one airline with a substantial portfolio of slots at LHR that has the scale of operations to absorb bmi slots and rejig its schedules to make use of almost all of them.
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Old 20th Sep 2011, 23:51
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I predict that BA will buy bmi mainline, the lot. They're not going to let any other airline get it for obvious reasons. Time will tell, let's wait and see.
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Old 21st Sep 2011, 08:49
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As BMI group is now on the open market it will the first chance many airlines will have to look at its books.Only then will potential bidders start to emerge.

When BA let BMED go to the opposition it was obvious there was nothing in it for them.
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Old 21st Sep 2011, 09:24
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I think all would agree that BA both needs and wants to be the major beneficiary of the sale of BMI however that is achieved. The BMI situation has been brewing for many months. BA has had plenty of time to consider its options in the face of a range of eventualities. It will surely know how much it is prepared to pay for the whole or the parts and because the outcome is more critical to BA than other operator it is likely to be ready to pay a high price if that is the way to achieving its aim.

It is a convenient fiction for BA to let it be known it is "only interested in the slots."
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Old 21st Sep 2011, 09:53
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Lufthansa has opened BMI's books before, 2 years ago and had several airlines look at them, but no-one would offer what Lufty wanted. It would be interesting to see if they can now get better a offer.
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Old 21st Sep 2011, 10:26
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BA does only want our slots, there are many of us at bmi who realise this, and many who are rather hopefully living in the clouds and expect to be integrated. You can't sell slots for direct payment, true, however there are ways and means to swap slots and transfer slots in exchange for payment elsewhere, so if BA want to there are ways they can hang about to grab the slots as we sink under the sand

The sad thing is that (baring UK & Ireland/HAJ) we offer a BETTER product than BA these days BUT our public assosciation with Baby confuses people and our marketing and branding is abismal and has been for so long that I fear the damage is too deep. e.g. we give economy pax a hot wrap all day on European flights while BA give a cold sarni up till 10am and then a cookie or bag of snacks for the rest of the day. In business we also give our business pax a choice of two hot meals, a dessert and a starter when BA are offering Club Europe pax a cold salad/plate on the vast majority of similar flights.

One last note, please remember that in amongst all of the speculation and 'excitment' about the outcome of this sorry state of affairs...

...bmi consists of many hard working and dedicated people at the coal face, who have done all that is asked of them and more and now find themselves with very uncertain futures throught no fault of their own. Please do discuss and speculate, that is after the point of pprune, but please do have some consideration as these are people's livelihoods you are discussing at a time when there are very few opportunities elsewhere.
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Old 21st Sep 2011, 14:21
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Transavia

A mate of mine heard a rumour that Transavia were looking to get back into the UK market and would consider buying up baby.

My view is this news is abit out of the blue and cant seen it happening. Is all speculation
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Old 21st Sep 2011, 15:16
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On a different note...

I cant find an up to date listing of all BMI Regionals bases and routes on the internet.

Does anybody have a complete list?

Cheers,

RG
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Old 21st Sep 2011, 15:24
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Has anyone considered that AF/KLM might be interested? AF are keen to improve their UK presence, gaining LHR slots would be a big bonus and it would be another one over Lufty. Whether it would be possible for AF to buy bmi direct from LH is another question....
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Old 21st Sep 2011, 15:31
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AF are keen to improve their UK presence,
In the sense they want us to feed their long haul at CDG. If Lufthansa cannot make a go of running BMI, there's little reason to think Air France will do better. Besides their last attempt to serve a non French destination from LHR was half hearted and not succesful at all. Mind you if they thought they could crack LHR-LAX then perhaps they think they can turn around BMI.
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Old 21st Sep 2011, 15:35
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AFKLM are not interested at the moment. Only IAG have shown any serious interest in purchasing the slots at LHR.
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Old 21st Sep 2011, 15:44
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Quote from Facelookbovverd

"does it's pilots really need or want a full English breakfast on a short domestic flight, that if regional fly the route and a given day don't get it?"

Can you tell me the point of this crass, out of context swipe at BMI Mainline pilots? - some axe to grind there?

P.S. Love the classy handle !
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Old 21st Sep 2011, 16:27
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The on board service offerd by BMI is excellent but if you can't put bums on seats paying a price where you can at least break even your never going to stay in business.

People have long said they have no idea what the business plan is and i think there lies the problem.
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Old 21st Sep 2011, 19:35
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Full English breakfast?? If you are referring to the trough of baked beans garnished with powdered eggs and a cheap sausage that we get you are welcome to it.
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Old 21st Sep 2011, 19:37
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facelookbovvered

Mate, if the only thing you can come up with is breakfast's, then stay out of it.

Ryanair and Easyjet don't operate from LHR, it's not a comparison.

(I wonder about some people, I really do.........)
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Old 22nd Sep 2011, 07:56
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Originally Posted by ayebmi
The sad thing is that (baring UK & Ireland/HAJ) we offer a BETTER product than BA these days BUT our public assosciation with Baby confuses people and our marketing and branding is abismal and has been for so long
I can't help but agree with this statement. I fly bmi because it is better and I'm kept aware of it thanks for it's frequent flyer programme...however without the Diamond Club element I doubt I'd have known who bmi was.

There are some revenue management issues that compound problems too; especailly on the Heathrow Dublin route!
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Old 22nd Sep 2011, 19:39
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Do LH seriously think that they can 'sell' BMI? I struggle to see it myself.

In the past 13yrs, (according to another site) the largest annual profit that BMI made was £29.6million in 2006 however, the last 3.5yrs have not been kind. In 2008, losses topped £153.9 millions, in 2009 losses topped £190.6 million. Last year they lost £124.5 million and in the first 6 months of 2011 losses have hit £108.5. So in 3.5yrs, BMI have lost a staggering £731.4 million

The rub is this, BMI would need to have 25 consecutive years of their highest grossing year (2006) simply to repay the losses amassed over the last 3.5yrs.
Whilst I think it possible that LH may find someone to take BMI, I am reminded of the fact that when Flybe took BAConnect (losing circa £30million per year) from BA, they did so for a token £1, and a gift of approx £155 million from BA to ease the turnaround of the business.

Personally, I think it will be LH digging deep into their pockets whether they sell it or not!

Last edited by JobsaGoodun; 22nd Sep 2011 at 20:48.
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