Flybe-9

[rog747]

I can see that under the present circumstances that the Reset button will likely get pressed on alot of economics and debt and we go back to square one in many aspects.

IE parking and landing fees/rents will be shelved or reduced in the current climate

[ATNotts]

I know it's business at the end of day and I totally understand that but it annoys me whenever a company goes bust there's never anything left in the pot to pay the former employees. I know I've been there.

The only two groups that gain any benefit from a bankruptcy are the the big accountancy firms and HM Treasury. Always been the same.

[Wycombe]

Monitoring the nearly empty skies on FR24 this morning and noticed E195 G-FBEI pop up en route EXT to NWI.

I think this is the first movement of a Flybe aircraft since the evening of the 4th?

[Jersey32D]

Originally Posted by Wycombe

Monitoring the nearly empty skies on FR24 this morning and noticed E195 G-FBEI pop up en route EXT to NWI.

I think this is the first movement of a Flybe aircraft since the evening of the 4th?

Yes, albeit this aircraft had been handed back to the leasing company after being withdrawn from service before collapse as part of the E195 phase out.

[stewyb]

Originally Posted by Jersey32D

Yes, albeit this aircraft had been handed back to the leasing company after being withdrawn from service before collapse as part of the E195 phase out.

wasn’t this one earmarked for service with Eastern Airways as part of 3 airframes acquired?

[Jersey32D]

Originally Posted by stewyb

wasn’t this one earmarked for service with Eastern Airways as part of 3 airframes acquired?

I'm not so sure. I thought they were leasing the shorter E190 that is London City capable.

[jmccrew]

Administrators seek restart

[caaardiff]

Originally Posted by jmccrew

Can't see it happening given that a large chunk of domestic routes have already been replaced by Eastern and Loganair. It would be better for money to be given/loaned to them to sustainably expand and cover some more routes, whilst also offering employment to some of those that lost their jobs with Flybe.

[PDXCWL45]

I'd generally be shocked if that happens! As caardiff says supporting the likes of Eastern and Loganair via some of regional connectivity fund or grants for new bases at specific airports might be a better option.

[ORAC]

What would they buy? Just about every asset (aircraft, engines, ground equipment, buildings etc) were either always leased or, in the last year, sold off and leased back. The staff were already laid off so, even if the government bought the shell back, they wouldn’t qualify fir the 89% salary scheme - aimed at keeping solvent companies going till after the lockdown is over.

The article says the need is to keep the previous routes flown between smaller centres goin during the present crisis. But the government doesn’t want people travelling and many if the airports are shut. With the reduction in passengers Loganair et all could satisfy any need if asked.

I can only see this as the administrator flying a kite and in a gale......

[Albert Hall]

I think it's a mechanism to enable the Administrator to keep the company dormant in administration but to furlough instead of making the employees redundant. In that way, they'd qualify for the retention scheme and £2,500 per month instead of jobseeker's allowance. That does make sense and is a logical position.

What makes no sense and is not logical is returning vast numbers of Q400s to the skies to fly routes that made losses. Flybe ran out of cash and ceased trading for a reason, after years of alternating between a marginal profit and a big loss.

[ICEHOUSES]

Sorry, no way should the hardworking taxpayers bail out the employees, the company failed 3 weeks ago, the company has been failing for a long time, the employees knew that for a long time too. So should the taxpayer bail out TCX employees/ MON employees too etc from months/years ago?

[Mr @ Spotty M]

ORAC
Just for info, the following.
Ministers relaxed rules late last week, allowing companies that failed during March to benefit from the coronavirus job retention scheme.
Flybe failed on the 5th March.

[SealinkBF]

They failed because of Coronavirus.

I cant see them coming back though given that Loganair, Blue Islands and Eastern were viable at the time and should receive support through this time.

[JobsaGoodun]

If the Government is serious about the introduction of more PSO’s to support regional communities then it may be a financially sensible move to bring back a small part of Flybe to fly those routes being considered. I do think that getting this country moving again after this crisis will be critical to get the economy back on track.

The value of the NQY PSO route alone was circa £2.8m over 4yrs, more than Connect Airways paid for all of Flybe back in January of last year.
The UK uses very few PSO’s when compared to other European nations and there are no doubt some routes for which rail or road are not viable alternatives for business (to long/over water).

I’m not suggesting the Government simply bring back Flybe, that would be crazy, but a Government owned, lower cost, slimmed down version may just make sense if they are simply going to spend the same amount on PSO funding anyway.

The problem is that ‘Government owned’ and ‘slimmed down, lower cost’ rarely go hand in hand.

[Startledgrapefruit]

I am sure the government could find some experts on Pprune that could do it

[willy wombat]

We had a Government owned airline that connected the UK regions. It was called BEA.

[Albert Hall]

Question: does anyone really, genuinely believe that Flybe would have survived anyway had Coronavirus not come along? Its financial woes (the latest round) hit the headlines in January and remained there all the way through February, when Coronavirus was a far-off, distant issue to so many of us. It was an airline in deep trouble and requiring Government bail-outs back in January. Although I know they said what they said at the time of closure, I really can't see how they'd have had a chance of survival without Government support, with or without Coronavirus.

[ORAC]

The Flybe pension scheme is, of course, based in the IOM, so not covered by the U.K. Pension Protection Fund. With no real assets left the government wouldn’t be rescuing an airline, but Being asked to take responsibility for the pensions?

[Rivet Joint]

Originally Posted by Albert Hall

Question: does anyone really, genuinely believe that Flybe would have survived anyway had Coronavirus not come along? Its financial woes (the latest round) hit the headlines in January and remained there all the way through February, when Coronavirus was a far-off, distant issue to so many of us. It was an airline in deep trouble and requiring Government bail-outs back in January. Although I know they said what they said at the time of closure, I really can't see how they'd have had a chance of survival without Government support, with or without Coronavirus.

Probably not. But if bankruptcy protection existed here like it does in the states, perhaps BE could have ditched all the E jets and closed all the silly bases it opened to keep them busy. They could have retrenched to their key bases that built them into the big player they became in the first place, and ticked along nicely. On paper I cannot see how a fleet of q400s operating from a few strategic bases on domestic routes and the key continental trunk routes could be any more of a profitable operation? Of course things aren't that simple, but its not like BE had much competition on those routes. I would love to know what part the lessors played in BE's demise, it looks like NAC lease both E jets and q400s to BE. Whilst a contract is a contract, you would like to think it would be better to allow BE to ditch the E jets than force the airline to collapse and have all the q400s also sitting idle. I suspect the coronavirus will be dishing sum long awaited humble pie to airline lessors.