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-   -   Flybe-V1 (https://www.pprune.org/airlines-airports-routes/637085-flybe-v1.html)

Albert Hall 5th Dec 2021 13:55

I've certainly heard about a couple of airports and handlers declining to offer deals or credit terms to new Flybe and one of several reasons cited is the debt from old Flybe. Rogue One's comment is legally and technically correct, but that does not take into account the natural caution and ill-feeling generated towards one of the same shareholders now re-appearing as a new business after also seeing a preferential return from the security it held in old Flybe.

And I can't seriously believe they are going to go anywhere near the LHR operation, slots or no slots.

inOban 5th Dec 2021 13:58

I would have thought that their suppliers would be insisting on payment in advance into what I think us called an escrow account.

inOban 5th Dec 2021 14:01

Any previous supplier is likely to insist on payment in advance into what I think is called an escrow account.

Alteagod 5th Dec 2021 15:43

It makes it very very messy if they have a separate handling agent in each airport. SWISSPORT for example could have offered a nationwide very competitive rate for handling but I would ssy they looking a very sizeable bond to be put in placd first after the financial carnage the previous collapse caused.

JSCL 5th Dec 2021 17:30

Let's not forget Warwick Brady is now CEO at Swissport.

Irrespective of the past, there's little to no love to be had there I'd imagine.

ATNotts 5th Dec 2021 17:37

inOban

Indeed, whatever you call it, or however it is set up, creditors of Flybe Mk.1 will likely be looking to claw back some of the debt from Flybe Mk.2, and frankly, who can blame them. I'm sure that this will have been factored in by the new management and financiers; they aren't commercial novices with no previous experience in the world of business.

BACsuperVC10 5th Dec 2021 17:45

Albert Hall

The original Flybe have operated the route in past.

Fletch 5th Dec 2021 19:10

But did it make money for them?

BA318 5th Dec 2021 21:58

Up for sale already
 
According to tomorrow’s Telegraph, the hedge fund behind Flybe is planning to sell it before the carrier carries its first passengers.

It mentions a proposed two stage plan where Flybe will operate with its new buyer for a year before becoming part of them.

It says they have sounded out Blue Islands and Aurigny as potential buyers and could ask for up to £45m for the airline.

Cyrus Capital declined to comment.

dc9-32 6th Dec 2021 04:58

This will all end in tears.....

milleriom 6th Dec 2021 05:34


Originally Posted by JSCL (Post 11151773)
Let's not forget Warwick Brady is now CEO at Swissport.

Irrespective of the past, there's little to no love to be had there I'd imagine.

Love or a lack of it has nothing to do with any major business decisions like that.

Atlantic Explorer 6th Dec 2021 06:43


Originally Posted by milleriom (Post 11151980)
Love or a lack of it has nothing to do with any major business decisions like that.

Given the history between the two companies, it most certainly does in this case!

wanna 6th Dec 2021 06:52


Originally Posted by milleriom (Post 11151980)
Love or a lack of it has nothing to do with any major business decisions like that.

Maybe out in the real world it doesn't, but in Aviation, for small companies its very much who you know, who's a drinking buddy etc etc so very much does apply.

wanna 6th Dec 2021 06:57


Originally Posted by BA318 (Post 11151885)
According to tomorrow’s Telegraph, the hedge fund behind Flybe is planning to sell it before the carrier carries its first passengers.

It mentions a proposed two stage plan where Flybe will operate with its new buyer for a year before becoming part of them.

It says they have sounded out Blue Islands and Aurigny as potential buyers and could ask for up to £45m for the airline.

Cyrus Capital declined to comment.

If this is true, it shows that Cyrus Capital clearly think they have something worth a lot more than possibly anyone else, maybe out of touch with the current market? Out of all the regional airlines, Eastern would be the obvious choice for purchase, well financed, a history of making poor decisions, but always scraping by with an owner willing to take risks. I wouldn't have thought Aurigny or Blue Islands would have the financing to purchase an airline, both are small and battling harsh operating environments. Although Aurigny do have the benefit of the States of Guernsey writing a cheque (45 million being a drop in the ocean to Guernsey), so anything is possible.

SWBKCB 6th Dec 2021 07:16

Exactly what would you get for your £45m - other than getting rid of a potential competitor?

Jamie2009 6th Dec 2021 07:16


Originally Posted by BA318 (Post 11151885)
According to tomorrow’s Telegraph, the hedge fund behind Flybe is planning to sell it before the carrier carries its first passengers.

It mentions a proposed two stage plan where Flybe will operate with its new buyer for a year before becoming part of them.

It says they have sounded out Blue Islands and Aurigny as potential buyers and could ask for up to £45m for the airline.

Cyrus Capital declined to comment.

Where did this come from? Can’t see it in the Telegraph🤷‍♂️

BA318 6th Dec 2021 07:33


Originally Posted by Jamie2009 (Post 11152011)
Where did this come from? Can’t see it in the Telegraph🤷‍♂️

It’s on the front page of the business section.

biddedout 6th Dec 2021 07:59


Originally Posted by SWBKCB (Post 11152009)
Exactly what would you get for your £45m - other than getting rid of a potential competitor?

A portfolio of slots at major UK airports (incl LHR), a vast customer database with website and the possibility to feed into long-haul networks through codeshares and alliances. Makes a lot of sense and not a lot different to what could have been done when Flybe 1 bought BA Connect from BA but this time avoiding some of the more dubious decisions like ordering a huge numbers of jets.

BACsuperVC10 6th Dec 2021 08:13


Originally Posted by Fletch (Post 11151823)
But did it make money for them?

Their operating record was poor on LPL- BHD. On off on off, you never knew what they were doing. Where as Easyjet offers frequent reliable connections to BFS . Did Flybe make much money anywhere?
Their aircraft is due in LPL from BHX this afternoon.

southamptonavgeek 6th Dec 2021 09:18

Fund manager plots to sell airline Flybe
 

A MAYFAIR financier who co-owns Pizza Express is plotting the £45m sale of Flybe before the revived regional airline carries its first passenger.

Lucien Farrell, the media-shy hedge fund manager who bought the Flybe assets from administrators, has contacted investors to offload the business.

Mr Farrell's advisors have researched prospective bidders with a two-stage plan, according to email correspondence seen by The Daily Telegraph.

Central to the sale are Flybe's lucrative take-off and landing slots at Heathrow airport, which Flybe inherited when British Airways bought BMI in 2012.

It is envisaged that Flybe will operate in partnership with the prospective new owner for around a year before the business is sold. It is thought that Mr Farrell's advisers have sounded out airlines such as Blue Islands and Guernsey, which fly to the Channel Islands.

Last week Flybe announced that it would relaunch from Birmingham airport in March 2022.

Mr Farrell's Cyrus Capital has endured a long battle to restart the airline after buying it from administrators EY in 2020. He managed to overturn a decision by Grant Shapps, the Transport Secretary, to revoke Flybe's operating licence in June, paving the way for the airline to be revived.

A spokesman for Mr Farrell declined to comment.
The sentence about the OL is obviously coming from somebody who is not familiar with the fact that a new one has been granted. I also presume that "Guernsey" is referring to Aurigny in this context.


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