JobsaGoodun
19th Jan 2004, 02:13
Sunday Times 18 Jan 2004
From within the BA story;
....."Meanwhile,Qantas and Virgin Atlantic are close to paying a record sum for Heathrow runway slots in a deal with Flybe, the airline owned by a family trust of the late owner of Blackburn Rovers football club ,Jack Walker.
Flybe is selling six pairs of slots,which it currently uses to run services on behalf of Air France.Qantas,the Australian flag carrier,is understood to have agreed to pay close to £20m for two pairs, while Virgin Atlantic is thought to have offered a similar sum for the remaining four pairs.The deals are expected to be finalised this week....Insiders claimed Virgin Atlantic had paid £24m for the four pairs of Flybe slots,but sources at the airline said the figure was too high.Industry sources said the trades set a new valuation benchmark....The previous highest price at Heathrow was paid last year by BA.It bid £12m for two pairs of slots,buying them in an internet auction staged by United Airlines,the American carrier."
Personally I think this could make a very nice downpayment on a few nice new NG737's or a few A319's. It certainly gives Flybe the opportunity to renew their fleet in order to better compete with the other low cost airlines, particularly their routes into Spain.
If nothing else it will give the airline some cash which it will need to see it through the next few years.
From within the BA story;
....."Meanwhile,Qantas and Virgin Atlantic are close to paying a record sum for Heathrow runway slots in a deal with Flybe, the airline owned by a family trust of the late owner of Blackburn Rovers football club ,Jack Walker.
Flybe is selling six pairs of slots,which it currently uses to run services on behalf of Air France.Qantas,the Australian flag carrier,is understood to have agreed to pay close to £20m for two pairs, while Virgin Atlantic is thought to have offered a similar sum for the remaining four pairs.The deals are expected to be finalised this week....Insiders claimed Virgin Atlantic had paid £24m for the four pairs of Flybe slots,but sources at the airline said the figure was too high.Industry sources said the trades set a new valuation benchmark....The previous highest price at Heathrow was paid last year by BA.It bid £12m for two pairs of slots,buying them in an internet auction staged by United Airlines,the American carrier."
Personally I think this could make a very nice downpayment on a few nice new NG737's or a few A319's. It certainly gives Flybe the opportunity to renew their fleet in order to better compete with the other low cost airlines, particularly their routes into Spain.
If nothing else it will give the airline some cash which it will need to see it through the next few years.