Flybe-9
Join Date: Dec 2010
Location: UK
Posts: 133
Flybe collapse
Originally Posted by Gurnard
Absolutely not so. COVID was having no effect upon Flybe in early March and in the previous months. COVID only began to bite after the collapse of Flybe. Those who are connecting Flybe's failure with COVID are putting up a smoke screen. You are correct to point to the financial figures instead.
Join Date: May 2011
Location: IOM
Posts: 960
Originally Posted by toon22
Far from it. By the end of February ‘20 forward bookings were collapsing (just look at any media for that week) and cash was running out. The credit card merchants were withholding cash and the outlook became so bad because of COVID that the shareholders refused to inject more funds and the airline foundered. It would have gone anyway but COVID was the straw that broke the camel’s back.
see below for timeline.
Join Date: Oct 2004
Location: UK
Posts: 2,249
Originally Posted by LGS6753
Correction - it's the unpleasant and unacceptable face of Government intervention in capitalism.
Join Date: Jul 2003
Location: Under the flight path
Posts: 2,433
Originally Posted by ATNotts
Wrong; the only involvement that government has had in pre-packs is allowing them in the first place, and that I believe pre-dates the Tory governments of 2010 onwards. It is in fact a money making tool employed by accountancy firms.
Under a true capitalist system, bankrupt companies would go to the wall.
Join Date: Oct 2004
Location: UK
Posts: 2,249
Originally Posted by LGS6753
Precisely - the Government allowed pre-packs to exist = intervention.
Under a true capitalist system, bankrupt companies would go to the wall.
Under a true capitalist system, bankrupt companies would go to the wall.
My former employer refuse credit to any phoenix company that rose out of a pre-pack until the old debt was paid, and quite right too!
Join Date: Jul 2003
Location: Under the flight path
Posts: 2,433
Originally Posted by ATNotts
Which means that the 'gold standard' for capitalism, the USA, fails at about the same hurdle as the UK with their Chapter 11 bankruptcy rules.
My former employer refuse credit to any phoenix company that rose out of a pre-pack until the old debt was paid, and quite right too!
My former employer refuse credit to any phoenix company that rose out of a pre-pack until the old debt was paid, and quite right too!
My approach p!ssed off a number of my sales staff though!
Join Date: Aug 2014
Location: East London
Age: 39
Posts: 303
Originally Posted by Gurnard
Absolutely not so. COVID was having no effect upon Flybe in early March and in the previous months. COVID only began to bite after the collapse of Flybe. Those who are connecting Flybe's failure with COVID are putting up a smoke screen. You are correct to point to the financial figures instead.
Join Date: Mar 2011
Location: East Midlands
Posts: 454
Originally Posted by AirportPlanner1
Having flown with BE in late Feb I can assure you COVID absolutely was biting. In fact on my flight outbound with EZY I had a whole row to myself (the 6 seats). Which is pretty remarkable on an end-of-week northbound to EDI.
Join Date: Oct 2004
Location: UK
Posts: 2,249
Originally Posted by LGS6753
Yes - Chapter 11 is an abomination that has kept far too many zombie companies alive to the detriment of healthy, better-managed competitors. In my working life, I would never extend credit to any business that had entered into a CVA - it was usually only a matter of time before they were looking for another one.
My approach p!ssed off a number of my sales staff though!
My approach p!ssed off a number of my sales staff though!
Join Date: Aug 2011
Location: Scotland
Posts: 33
Originally Posted by Gurnard
Absolutely not so. COVID was having no effect upon Flybe in early March and in the previous months. COVID only began to bite after the collapse of Flybe. Those who are connecting Flybe's failure with COVID are putting up a smoke screen. You are correct to point to the financial figures instead.
We all know Flybe was failing and previous management were running it into the ground, but to say Covid didn't have an impact is ludicrous.
Join Date: Aug 2014
Location: East London
Age: 39
Posts: 303
Originally Posted by Cazza_fly
it must have been around for years then. I've had plenty of flights on EZY northbound to EDI over the years, with practically half a cabin to myself. Particularly in February with the usual more bleak winter months between January and March for UK / Western European carriers.
Join Date: Aug 2007
Location: BIRMINGHAM
Age: 59
Posts: 39
Originally Posted by LGS6753
Yes - Chapter 11 is an abomination that has kept far too many zombie companies alive to the detriment of healthy, better-managed competitors. In my working life, I would never extend credit to any business that had entered into a CVA - it was usually only a matter of time before they were looking for another one.
My approach p!ssed off a number of my sales staff though!
My approach p!ssed off a number of my sales staff though!
Join Date: Oct 2004
Location: UK
Posts: 2,249
Originally Posted by MARK 101
Agree that this is capitalism at its worst, but also remember there's a lot of people still in work with companies resurrecting them selves. Its easy to forget that for ordinary people its jobs that matter, not the corrupt system. I am sure if Flybe do return it will be a welcome jobs boost to an industry in terminal decline
Join Date: Jul 2003
Location: Under the flight path
Posts: 2,433
Originally Posted by ATNotts
Yes, but the collateral damage is for the suppliers that haven't been paid, and the jobs lost there as a result.
Join Date: Dec 2012
Location: leeds
Age: 74
Posts: 275
Originally Posted by ATNotts
Yes, but the collateral damage is for the suppliers that haven't been paid, and the jobs lost there as a result.
Obviously the criminal law is there to deal with directors who mislead the market, engage in insider trading etc. But provided there is no criminal behaviour, how far do you go down the line of barring people from paying into ATOL, entering the market and for how long?
Join Date: Feb 2018
Location: South West, UK
Posts: 153
Originally Posted by Snr
Bookings were absolutely down in January and February. Loads were reducing by the week before the collapse. The biggest factor in the ultimate demise was Virgin backtracking on investing more money so they could focus on keeping mainline alive.
We all know Flybe was failing and previous management were running it into the ground, but to say Covid didn't have an impact is ludicrous.
We all know Flybe was failing and previous management were running it into the ground, but to say Covid didn't have an impact is ludicrous.
Flybe was in a weak position from COW time, FAS might still be going if she had not made the stupid decision to merge it back with Flybe(the airline). I agree Covid was the final nail, but COW poor leadership was the beginning of the end. I came back to Flybe in 2018 after a few months away and it was like a different company and even back then you could tell it was heading towards going bust. I didn't stay with the company very long to say the least.
