jamesbrownontheroad
13th May 2005, 14:53
Press release from BMI...
bmi hails new era of competition from Heathrow
release date: 12/05/2005
first new long-haul competition from a new UK carrier at Heathrow for 14 years as bmi launches services to Mumbai
benefits of competition proved with fare reductions of up to 25 per cent
14 restricted routes needing new competition identified
Sir Michael Bishop, chairman of bmi, the UK’s second-largest full-service scheduled airline, today hailed “the dawn of a new era of competition from Heathrow”, with the launch of bmi’s new Heathrow-Mumbai services.
The four times-weekly service, starting on Saturday 14 May, marks the first new long-haul competition by a new UK carrier from Heathrow for 14 years.
Speaking at a press briefing in advance of the launch of services, Sir Michael said:
"bmi has a proud history of firsts at Heathrow. We were the first airline to compete with British Airways on the major UK trunk routes in the early 1980s. We were the first airline to bring competition to major European routes from Heathrow in the 1980s and 1990s. And now we are proud to be bringing the first new long-haul competition from a UK carrier to Heathrow for more than a decade.”
Sir Michael pointed to the benefits that competition has brought to the Heathrow – Mumbai route, following deregulation by the Indian and UK government's late last year. Business travellers can now travel for up to 15 per cent less and leisure travellers can save up to 25 per cent compared to pre-deregulation fares, he said:
“On every route that we have launched over the last 25 years, we have seen fares fall as a result of our services. Heathrow – Mumbai is no exception.
“Fares for both leisure and business travellers are significantly lower than before the UK – India deregulation, providing a strong stimulus for trade and tourism between the two countries,” said Sir Michael.
The Heathrow – Mumbai services add to bmi’s growing long-haul network - which already includes services from Manchester to Chicago, Washington, Las Vegas, Barbados, St Lucia and Antigua – and Sir Michael confirmed that long-haul routes would be a major element of growth for the business in the future.
He said:
“Our award-winning services from Manchester have proven we can deliver a world-class long-haul product. Now we want to expand our offer from Heathrow.
“We have long campaigned for the right to bring new competition to key long-haul routes from Heathrow, and we will continue to do so. We hope to start services to Riyadh later this year, and as a consequence of further deregulation in the Indian market we are now evaluating options which will allow us to further develop our route network from Heathrow to India. The priority, however, is to increase our Mumbai service to a daily frequency as part of the winter 2005/06 programme.”
Sir Michael identified 14 long haul destinations from Heathrow that would benefit from new competition, including Hong Kong, Johannesburg, Narita, Cape Town and destinations in the US [for press release including full list and notes to editors see link below ].
“More than 15 million passengers a year travel on these 14 routes – and they are being denied real competitive choice because of regulatory restrictions,” said Sir Michael.
“Even a ten per cent reduction in fares on these routes would save travellers over £600 million a year. The majority of these routes are from Heathrow to the USA and the UK and US governments would do well to take example of the UK-India model as a solution to releasing the stranglehold perpetuated by the Bermuda II agreement.
“Just as importantly, bmi is in the unique position of being the only airline able to provide long haul network competition to the UK regions at Heathrow. It is not only travellers in the south-east that will benefit from our new services to Mumbai, but those in Scotland, Northern Ireland, the Irish Republic, the north of England and some European countries such as Belgium and the Netherlands.”
Hmmm... so MB is laying down the challenge once more, without actually commiting himself to anything. But with BMI bringing in a leased 757 while one of the A340s goes to Mumbai, does the lack of available long haul aircraft (or rather the preparedness to have them) suggest they're not really expecting to be allowed onto these routes any time soon?
Coincidentally, I arrived into MAN yesterday on board a TCX 757 from Montreal (with 35" legroom in Y, I can't see any problem with a narrow body on long haul!), and caught sight of what looked like the Icelandair 757 rostered for the BMI transAtlantic ops parked up across from terminal 3 (can anyone confirm whether or not I was imagining it?) Cheap paint job - just the black/blue bmi logo on the white fuselage and small white logo on the tail :yuk:
You may laugh, but I continue to dream of a shiny (and sparkly) fleet of bmi A340s at LHR... hey ho :hmm:
*j*
bmi hails new era of competition from Heathrow
release date: 12/05/2005
first new long-haul competition from a new UK carrier at Heathrow for 14 years as bmi launches services to Mumbai
benefits of competition proved with fare reductions of up to 25 per cent
14 restricted routes needing new competition identified
Sir Michael Bishop, chairman of bmi, the UK’s second-largest full-service scheduled airline, today hailed “the dawn of a new era of competition from Heathrow”, with the launch of bmi’s new Heathrow-Mumbai services.
The four times-weekly service, starting on Saturday 14 May, marks the first new long-haul competition by a new UK carrier from Heathrow for 14 years.
Speaking at a press briefing in advance of the launch of services, Sir Michael said:
"bmi has a proud history of firsts at Heathrow. We were the first airline to compete with British Airways on the major UK trunk routes in the early 1980s. We were the first airline to bring competition to major European routes from Heathrow in the 1980s and 1990s. And now we are proud to be bringing the first new long-haul competition from a UK carrier to Heathrow for more than a decade.”
Sir Michael pointed to the benefits that competition has brought to the Heathrow – Mumbai route, following deregulation by the Indian and UK government's late last year. Business travellers can now travel for up to 15 per cent less and leisure travellers can save up to 25 per cent compared to pre-deregulation fares, he said:
“On every route that we have launched over the last 25 years, we have seen fares fall as a result of our services. Heathrow – Mumbai is no exception.
“Fares for both leisure and business travellers are significantly lower than before the UK – India deregulation, providing a strong stimulus for trade and tourism between the two countries,” said Sir Michael.
The Heathrow – Mumbai services add to bmi’s growing long-haul network - which already includes services from Manchester to Chicago, Washington, Las Vegas, Barbados, St Lucia and Antigua – and Sir Michael confirmed that long-haul routes would be a major element of growth for the business in the future.
He said:
“Our award-winning services from Manchester have proven we can deliver a world-class long-haul product. Now we want to expand our offer from Heathrow.
“We have long campaigned for the right to bring new competition to key long-haul routes from Heathrow, and we will continue to do so. We hope to start services to Riyadh later this year, and as a consequence of further deregulation in the Indian market we are now evaluating options which will allow us to further develop our route network from Heathrow to India. The priority, however, is to increase our Mumbai service to a daily frequency as part of the winter 2005/06 programme.”
Sir Michael identified 14 long haul destinations from Heathrow that would benefit from new competition, including Hong Kong, Johannesburg, Narita, Cape Town and destinations in the US [for press release including full list and notes to editors see link below ].
“More than 15 million passengers a year travel on these 14 routes – and they are being denied real competitive choice because of regulatory restrictions,” said Sir Michael.
“Even a ten per cent reduction in fares on these routes would save travellers over £600 million a year. The majority of these routes are from Heathrow to the USA and the UK and US governments would do well to take example of the UK-India model as a solution to releasing the stranglehold perpetuated by the Bermuda II agreement.
“Just as importantly, bmi is in the unique position of being the only airline able to provide long haul network competition to the UK regions at Heathrow. It is not only travellers in the south-east that will benefit from our new services to Mumbai, but those in Scotland, Northern Ireland, the Irish Republic, the north of England and some European countries such as Belgium and the Netherlands.”
Hmmm... so MB is laying down the challenge once more, without actually commiting himself to anything. But with BMI bringing in a leased 757 while one of the A340s goes to Mumbai, does the lack of available long haul aircraft (or rather the preparedness to have them) suggest they're not really expecting to be allowed onto these routes any time soon?
Coincidentally, I arrived into MAN yesterday on board a TCX 757 from Montreal (with 35" legroom in Y, I can't see any problem with a narrow body on long haul!), and caught sight of what looked like the Icelandair 757 rostered for the BMI transAtlantic ops parked up across from terminal 3 (can anyone confirm whether or not I was imagining it?) Cheap paint job - just the black/blue bmi logo on the white fuselage and small white logo on the tail :yuk:
You may laugh, but I continue to dream of a shiny (and sparkly) fleet of bmi A340s at LHR... hey ho :hmm:
*j*