Aer Lingus - 6

[Jet Set Willie]

Would you not keep the BA tail in at least DUB by flying to LCY, and perhaps have BHD as an option in the future for point to point traffic? Then as you say, use EI as feeder for LHR long haul. Good for BA, great for EI traffic loads!!

[DollarBill]

Talking to EI crew, the realisation is that a long term future can only be secured through consolidation and that being he case IAG may well be the best option. For a lot of EI crew, Walsh at he helm is more of a concern. Once bitten twice......

Indeed. WIllie is the worry for a lot of EI staff. He was generally loathed in his time as Captain, middle mngr and CEO.

Saying that, I believe IAG is the best strategic fit for EI.

In relation to the IAG pledges to the Irish Govt:
-Not selling the slots doesn't mean they cannot be leased.
-HQed in Ireland makes sense as its a sensitive subject but also takes advantage of the Irish 12.5% tax rate.
-"Operate the LHR routes for at least next 5 yrs" No reason why they would stop operating them. DUB-LHR is a goldmine for EI, hogh loads, high fares, high frequency. SNN and ORK feed into BA longhaul so cutting them will lose IAG pax overall. I could see a slight reduction in overall frequency on DUB-LHR,but if capacity remains even then "connectivity" is guaranteed. As above I think BA could pull off the route and use their own slots elsewhere.

[MAN FLEX 99]

What about the potential of expanding EI transatlantic and feeding UK traffic into DUB for transatlantic. This would allow BA over time to reduce its domestic frequencies to the likes of NCL, MAN, GLA, EDI and ABZ and use those LHR slots for longhaul operations.

[Heathrow Harry]

The BA model is to maximise UK transatlantic travel though LHR

which is why they have never put any serious effort into developing transatlantic services from Manchester, Birmingham or EDI

They aren't going to encourage people to go via DUB

[EI-A330-300]

Indeed. WIllie is the worry for a lot of EI staff. He was generally loathed in his time as Captain, middle mngr and CEO.

Now that CORE will commence, staff may leave now before IAG comes along

As for the LHR slots, Willie will have to do more....

[gsky]

"They aren't going to encourage people to go via DUB "

Why not?

More and more people are viewing EI/DUB as a good alternative to BA/LHR.

If they (IAG/BA) 'own' EI, and many people currently DO avoid LHR (for a number of good reasons) and they (BA/EI/IAG) could, probably would gain business via DUB , Transatlantic, which they would otherwise not get !

They , IAG/BA , would then gain add revenue/profit which otherwise would go to another carrier.e.g. AF/KL/LH etc.

[malcolm380]

what gsky said. I for one would prefer to fly to/from BRS via DUB from the USA, and gain Avios in the process, and I'm sure IAG would rather have my low-yielding lowest fare possible going that route than me taking the 2+ hour drive from/to LHR for a seat they could probably sell anyway at a higher yield. It seems like a win-win for everyone, except AF/KL/LH etc. All I would need then is for EI to open up EWR, as it's much easier to get to than JFK.

[Sober Lark]

The BA model is to maximise UK transatlantic travel though LHR

Third runway, race for connectivity, new capacity and all that. There has to be involvement of a certain national pride but that aside LHR just hasn't got sustainable growth.

[EI-A330-300]

All I would need then is for EI to open up EWR, as it's much easier to get to than JFK.

You can fly UA to EWR during the summer months with EI/UA.

[Heathrow Harry]

"I for one would prefer to fly to/from BRS via DUB from the USA,"

Indeed - but that's not what BA want you to do..................

[simples]

Originally Posted by Heathrow Harry

"I for one would prefer to fly to/from BRS via DUB from the USA,"

Indeed - but that's not what BA want you to do..................

True, but It's IAG trying buy Aer lingus, not BA.

[tom1975]

Heathrow Harry - you are correct BA won't want you to go through Dub, but remember it's not BA making to offer for EI, so it's irrelevant what BA wants, it's what IAG want

[Skipness One Echo]

You can't view them in isolation in this day and age. BA's model evolves to serve IAG, with a close relationship with Iberia. The traffic likely to be using DUB over the regions isn't likely to be lounge focussed status collectors at the pointy end I suspect.

[Omnipresent]

IAG's role is to a) decide where best to invest in growth and b) maximise cost and revenue synergies between subsidiary airlines.

If EI joins the transatlantic joint-venture, BA and other members of the joint-venture have to take a "metal neutral" approach not favour one carrier over the other for revenue purposes.

If you look at IAG at the moment, the most significant growth is coming from Iberia and Vueling. Iberia has just announced three new long-haul routes and a vast number of new/reinstated short-haul routes.

Many of Iberia's new short-haul routes are actually from the UK: London Gatwick, Manchester and Edinburgh to Madrid, and London Heathrow - Tenerife and Gran Canaria.

Meanwhile BA has been really getting in the neck of over short-haul profitability.

So, provided IAG can grow EI profitably, IAG will expand it, both in Ireland and the UK.

[CCR]

Think BA will deffo use some of their current Heathrow slots for Belfast & Dublin for more lucrative long haul destinations on bagging the extra EI slots.

Within IAG, Dublin will be "prioritised" like Manchester and Birmingham for long haul compared to LHR like Cork, Belfast and Shannon are currently "prioritised" for EI expansion compared to Dublin.

[Faire d'income]

Indeed. WIllie is the worry for a lot of EI staff. He was generally loathed in his time as Captain, middle mngr and CEO.

The smear never goes out of fashion in DUB it seems. A favourite tactic of one particular strategist.

I wouldn't pretend to speak for lots of people but I have never heard of anyone loathing him as a captain and not too many as a manager either. Certainly the pilots hated him for the lockout, but at least that was a time when the pilots properly stood up for themselves. Now it is all bluster, ballots and secret back-room deals.

Maybe Willie will bring genuine unity back.

[carlrsymington]

Just a guess

I have been scratching my head for ages trying to work out why BA \ IAG want Aer Lingus for and what will they do with them?

My guess is they have identified 2 moves (apart from the usual synergies... sorry for the business speak) They will split \ separate \ divide some of their US destinations from LHR and offer connections through DUB, offering pre-clearance, quicker transit & after all you are closer to the US from DUB. The inter UK flights could free up slots to serve the "emerging markets \ more profitable" destinations.
Put A320 or A321 on DUB \ BFS routes to soak up pax and free a few more slots.
If someone from MAN \ BRS \ EDI \ GLA etc can hop to DUB & on to the US why would you want to go via LHR?
Does the lack\reduced rate of APD from DUB play any part in this? I don't know.

[Skipness One Echo]

Killing frequency on UK domestic routes is potentially counter productive bearing in mimd they need to remain frequent to be competitive on point to point. Given BA are focussing on improving profitability on short haul and given the Shuttle runs do quite well, I don't see a lot of scope for change in terms of cutting back.

Why would you go via LHR? Well count the number of destinations BA serve in the US versus the number EI do! That's why.

[Sober Lark]

I have been scratching my head for ages trying to work out why BA \ IAG want Aer Lingus for and what will they do with them?

Another itch worth scratching is pondering over Ryanair's plan B. Is O'Leary's silence disagreement or consent?

[aer lingus]

He wants his money back, plain and simple. Also he will be able to use the slogan "The only Irish Airline" in his advertising if the deal go's through.