MK Airlines/British Global

[charter man]

Any truth to the rumour that the CAA have grounded MK Airlines? News is circulating that the fleet is in OST and LUX, awaiting an announcement at 1100z tomorrow.

[flyingwerks]

Just heard the same last night.

Everyone is concerned and worried.:uhoh:

[Freightened]

Don't think you'll find its the CAA - more to do with money running out.

Good luck to everyone - hope it pulls throught OK

[Clockwork TriStar]

I really hope that this is unfounded/temporary. Over time, I have met a few people who fly for them and/or work back in HQ. A fantastic team of people with a totally professional approach - each and every one I have met. I really hope that this is not the end. Thinking of them at this difficult time.

CT

[justlooking_tks]

Funny old and what goes around, comes around.

I was out of work a few years ago, applied to said company, interview arranged. Shortly before interview date I had to withdraw due family emergency, and informed them. Tried to communicate subsequently to arrange another date. You know something? They cut me dead. I was typed on the aircraft they operated and the correct license. When I needed another crack at that job and they didn't give a stuff and I had been in freight flying over a decade.

Feel sorry for the line and ops guys but for management, no sympathy at all.

Now they will soon know how I felt being out of work.

[Kitsune]

Perhaps the true cost of flying on a REAL AOC was just too much? :cool:

[Jes]

Reports from Belgium indicate that all is not well. 2 x 747 being ferried from OST to Filton today.

[nicop]

Both B742's in LUX are also being ferried to Filton

[Dogma]

Mate who flies with them lives in Cheshire, says being repainted in British Global colours, I gather its refinanced and with be going for 4/5 747-400 in the very near future.

Perhaps the bush flying in 747s will continue. :ok:

[Twitcher]

I'm also being told that they are collating the assets at Filton. There is a management/finance change going on and things will start again when all formalities are over. Fingers crossed for the staff.

[GlueBall]

And where and when would a fleet of five -400Fs be magically available?

It takes up to 6 months for one conversion, providing that a pax bird is available. And conversions are not the same as factory freighters.

It's not like going to a store and buying an item off the shelf.

[belgianconnection]

Its over and out crews are already looking at other jobs, and aircraft are up for sale.

[diesel862]

I have heard that the situation is very grim with administration being banded around.

However, if I know MK they will bounce back, so Belgian's post is very premature and rather harsh.

[belgianconnection]

you'll see, I got the info from crews....

[Michelmvd]

Two ex- LUX flights are positioning into EBOS.
First one landed at 18.32 lt. (ATC callsigns G-MKHA and G-MKDA)
So it looks 4 B742F's of the company will be stored temporary in Ostend.

Let's hope for a rebird of this brave company, this is an extermly sad moment for Ostend airport too.

B. Rgds
Michel

[diesel862]

They used the reg's as their ATC callsign.

Best of luck MK.

[crewman 355]

filton is being stripped of its assetts as of 3.00pm today !!!!! its over :{
good luck all

[Coleman Myers]

here tommorrow ..

I am sure there are many who will delighted at the news that MK is having a tough time. These will be people who probably did'nt get a job with MK or are jealous because eighteen years ago a young man had a vision and found every backdoor and loophole to realise that vision without much to begin with.

Belgianconnection, you may want to remember that the crew don't actually run the company and are probably very pissed off right now, but speaking without much authority.

Justlooking_txs sorry to hear your troubles. I expect every company has an arrogant prick in HR who probably took your situation as a personal affront to his weekly planning - thats life and bad luck really.

Kitsune. Yawn, yawn so boring .. did you fail an interview too ?.

Glueball I have it on fairly good authority from a mate here in Nairobi who is very close to MK that the 400 conversion plans have been on the cards for sometime. Dont underestimate Mike Kruger and his people.

"MK ... not for sissy's" ..

[altayaara]

Friends in Ostend, report 3 MK 747's parked at Ostend Airport, one since saturday (ex flying tigers), one since sunday ( normal mk livery) and one since today ( ex china airlines).

Let's hope they find a solution, as MK is the main airline in Ostend.

[DXB]

The problem is the cost of gas,these birds don't have the range of a 400,have to make extra tech stops all costs money.With the way cost of fuel is going, this is only the start of operators that are running on a thin profit margin,more guys are going to fold.Feel really sorry for the guys.Good luck if you can get a investor on board.:ugh:

[birdiecatcher]

what happens to the Panalpina system, i wonder with the MK collapse ? I guess they will be looking at some quick fix ACMI's ???

[Clockwork TriStar]

Coleman M, good post #20! I hope that MK appear on the other side of whatever is taking place right now. Given the history of the Airline, going right back to the pre MK days of Affretair, it has come through tough times before.

Interestingly, I'm someone who did not get a job with them either - which was my loss. Of all my interviews with airlines, it was the most professionally run interview I've been to. I have also met several of their Pilots here and there - all decent chaps.

For each and every one of them, I just hope that things turn out OK.

CT

[Coleman Myers]

Thanks Clockwork. If Silverjet can get out of administration so can MKA :ok:.

[Kitsune]

Myers, my point is that MK may well have been able to limp along for a while at least until things turned up (or the oil price turned down) by adhering to the previous AOC, which meant MK allegedly could virtually do what it liked with FTL/fuel planning maintenance etc. The added burden of flying to a CAA AOC could well have been the tipping point. Nothing against the crews, I feel very sorry for them, having been in their situation a couple of times over the years....

One airlines demise is often the life saver for another, I should think the likes of AAI, ATLAS and Martinair etc etc will be recruiting like hell at the moment for their -400Fs. They saw the writing on the wall for the good ol' Steamer several years ago.... :cool:

[Sir Osis of the river]

This is terrible news,

I have quite a few mates and ex collegues flying for MK. All top people.

I sincerely hope MK can survive and keep all their staff employed.

Good luck Guys and Girls

[superspotter]

Ah Kitsune.......
If we could only see inside the heads of our Icelandic friends, they have just got rid of one -400 and taken on board two -200's:eek::eek:

[drushe]

Any idea who the administrator is?

[HotDog]

Air Atlanta swaps 400 for two 200s.

Maybe there is a method in their madness. Probably got a very good price for the sale of the 400F and bought two 200Fs very cheaply which almost doubles their freight capacity vs one 400. I'm all for it, keeps the FEs in a job.:ok:

[Janeee]

Coleman.M
A visionary post!! MK went into administration yesterday at 12.00. The good news is that they will be up and flying once again by the end of the week. With a leaner and fitter core business base there is definitely a few more air miles in them yet. May I reiterate your final note "MK is not for sissys......"

[TwinJock]

Me thinks that more cargo companies are going to fold or get close to it - flying freight is not as profitable as it used to be! Global over supply of capacity at present, and yields are low!

The fittest will survive, but I for one will be hesitant to send my CV to one of these outfits for now!

Good luck to the great guys working for MK.

[diesel862]

If MK are to start flying at the end of the week that is fantastic news.

I know there are people who bash MK, however, they are some of the most professional, hard working and fun indivuduals I have worked with and I wish them all the success for the future.

MK is not for sissies - too bloody right.

[Spaced Out]

It definately sounds like money matters.

Administrators were called in this morning.:uhoh:

[Spaced Out]

Agree with them being hard workers.:D

Did a flight last week, JNB - KGL for the African Union Peace Keeping Force to Darfur and it was fun to sit on a -200F cockpit again.:ok:

[Clockwork TriStar]

Janeee, let's hope that things are up and running again soon for all the boys and girls at MK.

"MK is not for sissies" - rock on!!!!!!!!!!

[b747mrmike]

Has anybody ever thought that it might be the our friends at the CAA.
Not the price of Fuel or Mike " K "'s Not a BRITT!!!

[100m down/10,000m up]

I'd just like to comment on "MK is not for sissies" which has been cropping up regularly in this tread. Please, go and tell this to the families of people killed in Halifax. It is a stupid, outdated, macho saying.

[Huntair2]

Oh stop being such a sissy!

[Clockwork TriStar]

100m down – No-one I know in MK can be described as “sissies” – and that includes the 7 highly professional and dedicated people who so sadly lost their lives in such devastating circumstances on the 14th October 2004. I think you have completely misinterpreted the reason that this phrase is being used. No offense is meant – indeed the complete opposite!

The phrase simply describes, as a term of respect and endearment, the highly dedicated group of professionals, and that includes the “lost 7”, who operate in environmental and business conditions most of us normal aviators would find extremely challenging. That is why I, personally, believe MK deserves to go on flying! Indeed, MK tails back in the air would be a fitting and ongoing memorial to the “lost 7” I would say. I know who/what I remember whenever I see those tails.

MK is not for sissies – In memory of the "lost 7".

[Coleman Myers]

10000 up,

Mike Thornycroft, who was on board 9G-MKJ at Halifax in October 2004 would have been the first to tell you that "MK's not for Sissy's". Mike was a legend, the kind of character that built MK over the years. I fully agree with Clockwork.I remember the several of the chaps who died that day from drinks at the Aeroclub with great fondness as I am sure do all their work colleagues.
Take time to learn the story of Mike Kruger, his family and friends at MK and I am sure you will conclude that this airline deserves to survive ..

[helldog]

Janeee I hope your right there bud.

[BYALPHAINDIA]

I just hope that MK don't go to dust:sad:

At the end of the day, Jobs, Aircraft, pride etc are at risk, And the Aviation community must work as a team through all of this.:D

What does it matter 'sissy' or non sissy there are more pressing items on the agenda at the moment.:ugh:

2008 is just a 'wake up' call, 2009 - will be a very unhappy year for us all and that's inevitable i'm afraid.:sad:

We are losing an Airline/Operator at a rate of every 5 days at the moment.

Good Luck MK & it's people.:ok:

[Whenwe]

It is with warm fondness and moisture in my eyes that I recall with pride and passion flying with Mike Thornycroft in a CL44 over Africa in the original Afretair / Air TransAfrica. There were no room for sissys then.
As for the Kruger family...... I knew them well.

MK I truely wish you well, you deserve it.

CH

[Metro man]

Unfortunately this is not a good time to invest in any airline, let alone one operating ageing, fuel hungry aircraft. Even operators of modern, effecient twin engined aircraft are feeling the pain or going broke.

B744 freighters will be difficult and expensive to obtain, and may not be that much cheaper to operate at the end of the day in the lease/fuel burn/payload equation.

Sympathies to those involved, I wouldn't like to be trying to find another job in Zimbabwe at the moment or be 50 years old and out of work with an obsolete aircraft on my licence. :(

[Max-Performance]

MK were still interviewing and (including sim checking) right up to the end

[dionysius]

Sympathies to those involved, I wouldn't like to be trying to find another job in Zimbabwe at the moment or be 50 years old and out of work with an obsolete aircraft on my licence

Surely most of the crews are JAR licenced ? so they should have no problem with new jobs, also thought most of the "Zim's" had now relocated to SA.

[snarfel]

AirTrans Africa/Affretair of the legendary John "Jack" McVicar Malloch constitutes in a certain way the prehistory of MK Airlines. MK's CEO, Mike Kruger, former Air Force of Rhodesia helicopter and Canberra pilot, is his nephew.
Captain Jack Malloch used his aircraft to circumvent the embargo against Rhodesia, like he did during the Biafra civil war in the late 1960s for sanction busting flights.
Thus, it seems quite clear that, like the original Affretair, MK is not for sissies.

[Metro man]

Even with a JAR licence I would rather have an A320/B737NG on it than an obsolete type which is becoming increasingly expensive to operate. Also not all the crews have the right to work in Europe.

I believe a few die hards are still sticking it out in Zim, life being bearable only due to earning hard currency.

Best of luck to all involved, I know what it's like. Be flexible and go anywhere the work is. :ok:

[good spark]

they should have kept the dc8 fleet going, much cheaper than a 742
sorry for the guys at bristol- some very good engineers there





gs

[hydroplane]

MK and MR Pang are al ready doing business in Parchim.
http://aircargomedia.com/article.asp?art_id=3305
He has a lot of toys to ship to Europe! May be some yen can help?
MK to become Pang Airlines soon?

[Twitcher]

The good news is that they will be up and flying once again by the end of the week. With a leaner and fitter core business base there is definitely a few more air miles in them yet.

The two pprune threads on this subject have been coming from two sides. One saying administration is the end, the other saying it was a formality and they'll be back, as per the above quote.

Well, the end of the week is here, all is quiet, which is the more likely outcome?

[altayaara]

Latest info I got from guys in Ostend is that all 3 aircrafts are still parked today friday 13 th of june at 09H50 gmt.

As I understood, other airlines are taking over very fast the cargo and the routes of MK.

From now on, every extra day parked will reduce the chances of a new start-up of MK airlines.

If waiting 2-3 weeks more to restart, by then chances to survive are nil and consequently the story will be over, as by that time they won't have a single customer left ( unless they restart at ridiculous low prices, to regain the market, which no administrator will allow).

[Angel`s Playmate]

Crossed the dark continent 3 nights ago and didn`t hear a single MK flight, to my total surprise.

Now I know the answer !

Very sad news indeed.

Mark, if u read this-good luck to you. Hope you guys get airborne again .

All the best

Angel

[hydroplane]

DXB "extra tech stops all costs money" :=

Air Charter Express flies "Lyneham to Basrah" with 40 yr old DC8's... and has pit stops at EBOS every flight apparently for no reason. They have free access to fuel, or the crew likes Belgian chocolates?

[africanut]

have had the pleasure of doing business with the gents at MK on quite a few occasions,very efficient/professional and totally likeable guys. latest info indicates that there may well be a solution in the offing. should be something official mid next week.... heres hoping....:D

[Janeee]

Heard the same myself today. It all sounds very promising. The pheonix looks like it WILL rise up from the ashes - but it could well be a bird with a different name!

[toptrumps]

Yeah, herd the same from some people today, its not over yet but its a long shot

lets keep our fingers crossed :ooh:

[Clockwork TriStar]

Toptrumps, Janeee & Africanut, lets hope Angel’s Playmate gets to meet their MK friends again over the Dark Continent soon! Maybe under a different name/callsign – but, I’m sure the spirit will be the same!

Fingers crossed for all at MK! :ok:

[742f]

All of us in MK have been used to the bad mouthing and lies that have been told about our beloved airline for many years. The more positive and upbeat messages are welcomed and I know much appreciated by all the guys.
It is unlikely that anyone will find work with a more efficient , motivated and professional bunch of guys. From the Loadmaster to the skip to the ground engineers in the hanger or on the lines, everyone has the same pride and "esprit de coeur" and all and everyone of us wants MK to resume op's asap.
There will always be the MK bashers who wrongly perceived that we were/are unsafe , I say this to you. UK AOC's don't come free with cereal packets !!! It takes hard work and standards that are of the highest order. So those that doubt really know nothing about what they speak of.
Fuel price has obviously hit us hard, with a classic fleet, as has already been pointed out it is very hard to compete. But the willingness and determination to succeed is enormous.
We hope that our aircraft will soon be in the air again and moving our share of the freight around the world, and im sure we will be welcomed in the hotels and bars we used to frequent with open arms . You see we have so many adored and respected individuals working for us who all make an impression wherever we go.
So consider working for one of the best airlines in the world, i have worked for a few and this one tops the list .

To all my MK friends and colleagues . see you in the Haywagon for a pint of Sussex's finest !!!:ok:

[TRIM-RUN]

Saw an MK 747 in Luxembourg tonight outside the Cargolux hangar that I did not notice while passing this morning. Its sitting beside the Focus 747.

[Charlie Roy]

Latest info I got from guys in Ostend is that all 3 aircrafts are still parked today

Today, 19h00 Ostend airport, I saw 3 parked B747's next to each other. 2 had MK livery, 1 had non-descript livery. I'm assuming the latter is also an MK aircraft?

[TRIM-RUN]

I could not agree more. MK as a customer have paid on time every time with us and I really hope they see the other side of the current situation. I am sure Mr Kruger has one last roll of the dice up his sleeve.

[Clockwork TriStar]

742f – I’m sure there are far more “with” you guys and girls than “against”. Anyone who has met any of you properly will, and I’ll be so bold as to say, without exception, have the utmost respect for what you do – and where you do it quite often (ooo, er?!) – the more remote areas of the Dark Continent I mean! As well as across the rest of the globe!!!!

Coleman Myers summed up many of those against you in his eloquent Post #18 on this thread so I’ll say no more.

Here is to some good news for all at MK – ASAP!

Oh yes, I almost forgot - "MK ... not for sissy's" .. Guess we could expand that to “MK’s for hard-working, dedicated and fun-loving professionals!”

Go MK, go!!!!!!!!!!!

[acmi48]

a small insight into mk - even last week while the fleet was grounded and the future uncertain they openly shared information on some operational issues
for a carrier picking up the slack by the africa void left ..very hard to do but very professional..hope things work out

[Michelmvd]

Hi Charlie

Today, 19h00 Ostend airport, I saw 3 parked B747's next to each other. 2 had MK livery, 1 had non-descript livery. I'm assuming the latter is also an MK aircraft?

Yes the 3 Queen of the Skies on apron 1 are indeed MK birds.
G-MKBA / G-MKGA are in full colours and G-MKHA still in ex China c/s.

It is a very impressive view to see them together, but it is with great sadness I see the birds standing there on apron 1. Let's hope they move quickly back to where they belong : the skies over Africa, Europe, Asia and South America.

We hope for the best, so that we see at EBOS that the hard-working, dedicated and fun-loving professionals of MK manage to survive for the benifit of a great company and also for the Ostend Airport.

Goodluck guys.

B. Rgds
Michel

[superspotter]

"Saw an MK 747 in Luxembourg tonight outside the Cargolux hangar that I did not notice while passing this morning. Its sitting beside the Focus 747"

No, It's sitting besides the Air Atlanta 747:)
Ex Focus Air now TF-AAA

[robinswe]

Best wishes to all of you, hope to see you back in the sky very soon.

[weido_salt]

Just saw on climbto350 an outfit is looking for 742 crews.

PM me for details.

[DXB]

Hydroplane:=
The only time one lands for free
1)Gov contract
2)Free BJ's
3)Choc's-I don't think so:D
We have all been in this game long enough to know there is nothing for free..............

[RWY26]

One of the parked MK's in Ostend made an engine test today.

[hydroplane]

Dear DXB,


BJ’s or no BJ’s, chocolates or no chocolates, the mystery of the remarkable lightness of ACE AC is unanswered! How can the afford unnecessary stops… were others (MK) can’t? I’ m puzzled :bored:.

Rgrds,

[DXB]

This being organised at a very high level, we are just the drivers..........
On Another note,a week ago my ph would not stop ringing with a number of MK guy's looking for a slot with us.For the last 5 days all not a call?.................Is there good news brewing?:ok: I hope so

[pfm08]

notwithstanding all the support from people outside of our beloved mk airlines and of course those from within, I for one plan to start looking for work elsewhere!
mk is under administration- this is generally not a good thing, and the purpose of an administration is one of only 3 things:
1.to rescue a company as a going concern
2.achieve a better price for the company’s assets or otherwise realise their value more favourably for the creditors as a whole than would be likely if the company were wound up (without first being in administration); or
3.in certain circumstances, realise the value of property in order to make a distribution to one or more preferential creditors

No later than 8 weeks after the company enters administration, the administrator must make a statement setting out proposals for achieving the purpose of the administration or explaining why they cannot be achieved. The proposals may include a voluntary arrangement or a compromise or arrangement with creditors or members.

Perhaps I am wrong, but mathematically based on the above, MK has a 33.3% chance of survival, and I most certainly hope they do- however; am I the only employee who is wondering at the purpose of what appears to be "delaying tactics" from management in all company related comms to it's flight crew?
If, for example, in 8 weeks MK is granted a reprieve and flying resumes or if it happens to be longer (as this 8 week period can be extended subject to applications and approvals), where would MK be then with no remaining flight crew?
It seems to me that it would be in the companies best interest to apply the mushroom theory to its crew-ie. keep us in the dark and feed us B.S!

Pessimistic? Perhaps.
Pragmatic? I would prefer to think so.

MK is a great airline to work for and like everything is not perfect, but as stated perviously on this post, has a professional and friendly bunch of guys who make the job and the time away from home far better than it might otherwise be.
I hope as much as every other employee that we can pull ourselves out of this and resume flying, but prefer to observe the going's on with my eyes wide open.

[Daniel350]

pfm08 (http://www.pprune.org/forums/member.php?u=244980)

I agree completely with you. I got out a few months before this happened as I hope and pray MK continue as I enjoyed my time there and wish everyone the best. Unfortunately if you enter Administration for whatever the reason some of the decissions are taken out of your hands and the outcome may well be different than intended.

As I say a great company and great people I hope you all survive recover.

[Metro man]

If your pay is on a per hour basis only, ask if the administrators will pay you a retainer to stick around in the meantime while things are being sorted out. If they are serious about selling the company as a going concern it will be in their interest to keep the flight crews.

Remember you still have to eat, the administrators will look after themselves first.

[Twitcher]

17-Jun-2008 : MK AIRLINES has been put up for sale, as administrators were called in on 10 June and the airline’s fleet of seven B747-200Fs, three DC-8 freighters and all engines, spares, consumables, land and buildings were advertised for sale (see page 18).

All of the airline’s B747-200Fs have been grounded, causing major problems for the airline’s biggest customer, Panalpina. The Swiss forwarder used MK extensively for services from Europe into Africa, especially in support of oil and gas and perishable trade.

For a number of months chief executive officer, Mike Kruger, has been trying to attract investment and re-financing options to acquire more fuel efficient 747-400F equipment.

The airline said in a statement that: “These talks have taken place in what is clearly a difficult economic climate, during which time the airline – like all others – has had to cut costs and restructure its operations due to extraordinary fuel prices.

“Due to the company’s financial position, the board of directors appointed James Bradney, Andrew Duncan and Michael Oldham of BKL Business Recovery as joint administrators on 10 June, 2008. This was to provide a moratorium to enable discussions to continue with interested parties.”

The airline maintains that services are only temporarily suspended and the airline refuted suggestions that MK’s AOC had been withdrawn and that other operations have been maintained with a view to achieving a rescue of the company.

There is some hope, however, that a rescue package for the airline may be around the corner. “Talks with potential investors have taken far longer than we would have hoped, not least because of this difficult economic climate. Whilst we continue to discuss options with potential new partners, we are working with the administrators to financially restructure the company and find a way of taking the business forward. Those talks are ongoing, and we are all working towards a speedy conclusion and recommencement of flight services. I hope that the administration appointment will be the beginning of a new future for MK Airlines,” said Kruger.

Bradney, from administrators BKL Business Recovery, added that they were “working hard with management and interested parties to achieve a rescue of the company and the preservation of this well regarded airline, together with the jobs of the staff and air crew. We are hopeful that the company can resume flying operations in the short term.”

Duncan told Air Cargo News on 12 June that although he was hopeful an agreement could be concluded, he had to place the airline for sale in case the deal fell through. “The airline cannot resume flying at the moment, as there is insufficient funds in place”.

Elsewhere, the unprecedented fuel prices has caused more casualties as airlines rush to end 747-200F operations.

[Coleman Myers]

Another nail biting weekend for our MK friends. I agree with so many people in this thread that they are great folks to know and I amsure work with too.I hope we are greeted in the next week with good news. :ok:

[F'Wx]

I hope those of you who have doubted MK... Are more than willing to appologise when this is sorted ;) I wont say anything more..

[catflaps]

What are you on about (or on)? Air cargo news says the administrators have been called in and the airline is up for sale. They appear to give some details to back up this story. Are you suggesting this isn't true? Is the smiley face with one eye shut supposed to be telling us that you know something we don't?

[Kabullet]

All sorted! Back to normal ops!:ok:

[flighty742]

A little bird just told me that there is an MK aircraft in Lux getting ready to depart. Anyone have anymore info?

[EIDFZ]

Hope so, can't wait to see the mighty birds roaring over Ramsgate again :D

[eddieukuk]

Wow ! Good luck MK

[Kabullet]

Yip its all go! Well done to all involved in getting a great airline going again...:D:D:D

[F'Wx]

I rest my case :)

MK... Not for sissies :D

[kamelthorn]

Well done Mike! :ok:

[thrax]

Well done Mike.

A tough couple of weeks but the best man won. Bad luck Dickie - Cornish Pirates, MK Airlines...I wonder what else you can fail at.

[thrax]

G-MKDA MKA923 ATD LUX 1702z TBS/FRU - Capt Power + crew.

Flight prog will be accelerated over the weekend to include West African and South American operations.

Kruger....man of steel.

:ok:

[RWY26]

There's also a MK flight from Ostend to Luxemburg scheduled tomorrow.

[BDB]

Well Done and Cngrts to all of MK , nice to see, and hear some positive news!:D

[thrax]

That will be G-MKBA. G-MKHA will leave for LUX-ABV-LOS on Sunday. Looks like the boys from Landhurst are cooking on gas.

:O

[Huntair2]

smoking..................................................... ............

[manstonman]

Furking brilliant . . excellent news, well done :D

[rfl330]

Air Cargo Newsletter from today morning:

Like the Phoenix, British air cargo operator MK Airlines Ltd. rose up from the ashes and resumed flights today (Friday May 20).
Air Cargo News FlyingTypers received confirmation of this from a high-ranking manager of Swiss logistics company Panalpina. Background of the carrier's second life after MK had grounded their fleet some days ago (ACN FT reported exclusively) will be given Monday or Tuesday next week pending on the approval of the new majority owner.
According to sources close to MK the savior of the carrier is a British-based investor that secured the cargo airline's take-off by injecting fresh money.
Founder and CEO Mike Kruger will keep his seat at the carrier's top management ranks, ACN FT learned.
Newly-born MK will mostly serve routes within Africa, between Europe and Africa as well as Far East and Europe. "Although they have an aging fleet of eight B747-200Fs and even an old kerosene consuming DC-8F they can be
profitable on the long run if they streamline some processes and become somewhat more efficient," Panalpina's executive said.
"In a way they have the spirit of old German Cargo, the forerunner of Lufthansa Cargo," he added.
One of the first flights of 'Phoenix' MK goes from Urumchi in Northwest China to Parchim airport in Germany and on to Luxembourg this Sunday.
This has been announced by both Panalpina and Jonathan Pang, chairman of Chinese LinkGlobal Logistics.
Meanwhile LinkGlobal and Australian asset manager Goodman announced at the commercial property “Expansion Fair” held last week June 18-19 in Hamburg, Germany that they teamed up to enhance Parchim airport by building logistics facilities and bringing in cargo traffic.
This includes the payment of €13 million Euros to the owner of the airport, the county of Parchim in Northeast Germany.
After the county receives the money the airport will officially be transferred from public ownership to the property of Chinese LinkGlobal Logistics

[broken spring]

thrax, without Dickie both you and Kruger would have been out of a job two years ago, his cash is the only reason MK achieved a UK AOC, dont be so fast on the trigger or you will be looking down the barrel of a much bigger gun in the not to distant future- the one that gets you fired!

[sledgehound]

Great news guys:ok:. Enjoy your time on track, I sure do miss it some times.

[helldog]

Great, great news. I think here we are concentrating on the flight crew mainly. Lets not forget that there will be a whole bunch of other people breathing a sigh of relief. The people in the office, the grounds keepers, the lovely ladies that look after the crew when they pass through Landhurst. Also the good people in the local pubs that get loads of business from crews staying there and having meals there. Handling agents at airports all over the world that would not have jobs if it were not for regular MK flights. So many people would have been affected if MK had not recovered. Happy days for all :D

[DXB]

With MK on shakey ground at 140,if it gets up and past 160 there will be even greater trouble:eek:
The young guns in Mk have been given a wake up call, most of them will leave.As nobody wants to work under a cloud.
We all listen to the news, oil is going only one way.
I hope I am wrong but if one lays all the cards on the table,they only point one way.........:(

[thrax]

Broken Spring.....too many assumptions on your part. D Evans has been screwing MK for years, and continued to after I moved on. Don't forget he built a weathly empire on the back of this charity. He is sitting in NBO with his millions - MK is having to rebuild from nothing.

:=

[Clockwork TriStar]

Fantastic! What brilliant news this is for so many people involved with MK, not just the aircrew as helldog points out. Clearly, times will be very hard and so I wish all at MK well as the airline gets back into business.

Who knows what the business plan is, but I’m sure many scenarios have been run so let’s wait and see what evolves over the next few months – a fleet upgrade? Who knows!

Fantastic news all round. Safe flying all – and long may Angel’s Playmate have MK back for company over the Dark Continent!

CT

MK – well, I think we all know who it’s for by now!!!! :ok:

[Remove-Before-Flight]

MK you Beauty! Well done Buggers:ok:

[Metro man]

Resuming flying and being out of the woods may not be the same thing. Remember Ansett flew for a while under administration and eventually was wound up, despite having interest from some potential major backers.

The new investors will not pour money in endlessly and will want to see a quick turn around and some positive cashflow fairly quickly. Interesting times ahead, hope for the best but don't count chickens.

[Coleman Myers]

@Broken Spring, as a Kenyan I can tell you it was not Dickie Evans alone that supported MK all these years but the many outgrowers who he simply brokered capacity and sales contracts for. Also. Mr evans does'nt part with cash easily and I doubt he alone funded the UK AOC.

The ability of MK to secure southbound cargo contracts with some of the biggest forwarding houses in the market which enabled them to turn up on in Kenya to fulfill their northbound obligation to Homegrown is far more siginifcant - they had other options to Homegrown. The tenacity of Mike Kruger, but above all, the calibre of the engineers and airmen MK employs are no doubt part of the reason their new investors have such confidence.

@Metro Man, I agree that a quick turnaround and a plan for fleet upgrading is essential. They have all the right people to do this with. ANSETT's situation was completely different. Air New Zealand used purchased that airline to transfer debt and re-invent its own failing brand (which it did at ANSETT's cost !).

Reading the various posts one thing is for certain. A lot more of us want to see MK survive (for whatever reasons) than those who want to see it fall. MK certainly have a safety record that nobody would be proud of - BUT - they have made huge steps to rectify this and are a different airline today to the DC8-54F outfit I remember at Jomo in the 90's (when BA tried to shut them down for offering a combi service to Europe - industrial earplugs came as standard in the pax vanity kit - and the stewardess could operate the start cart !).

Well done MK .. obviously not for sissy's and definitely men of steel :)

[superspotter]

Up and running??
One aircraft only back in the air and cash up front before a wheel is turned, does this constitute a successful return to the air??

[jebelcat702]

This is great news for all the people at MK and all the support staff around the world,when asked last week why do you carry on like this Mike's only answer was I have 450 people to look after,this alone shows you the calibre of the man.

I have known Mike from the skinny little airman I met in the airforce all those years ago to the man he is today,I have the utmost respect for him as a friend and now my boss.

So to all those with negative posts about Mike and the airline,get to know the man first.

Pambere na MK

[BYALPHAINDIA]

Yes very good news indeed to you all:D:D;)

This excellent news just shows that MK is a people person & has the wishes and livelyhoods of all his employees to consider.:D

Do you think MK could get slots at MAN - to rival CX & the others??

Think MK would do well at MAN if given the opportunity.

There could be a position going if CX pull out??:D

Be nice to see UK cargo carriers for a change rather than the Far Eastern men.

[snarfel]

23-Jun-2008 : MK Airlines has resumed operations after a deal was concluded with a new investor on 20 June.

The return to flying followed the Joint Administrators securing an initial funding arrangement with Transatlantic Aviation Limited (TAA), part of The Belfairs Management Group of Companies. MK Airlines immediately restarted trading and flying operations that evening and it has since been operating a near-full capacity flight programme.

Joint administrator Andrew Duncan from BKL Business Recovery, told Air Cargo News that the initial investment protected the airline from further damage caused by the grounding and that the new investors would be working on a Company Voluntary Arrangement (CVA) with creditors.

Once CVA agreements had been reached, TAA would look to invest further and probably buy the airline outright.

Duncan added that TAA were not an equity investor and were investing in the long term.

The following statement from the administrators/MK Airlines gave further details on the investment:

MK Airlines has earlier been in discussion with several interested parties about potential investments in the business to refinance and to reposition the airline with more efficient aircraft. These talks were led by the airline’s founder and chief executive officer, Mike Kruger, and following their appointment, the joint administrators.

A management team from Transatlantic Aviation Limited, is now working alongside the joint administrators and MK Airlines management to assist normal trading of the business.

Kruger, said: “We are delighted to be airborne once again. Within the next weeks and months we hope to return to a level of trading that existed prior to the appointment of our administrators. Whilst we still have some way to go to complete a formal long-term agreement for MK Airlines, this initial funding arrangement with TAA delivers what we hope will lead to a viable and prosperous long-term business strategy.”

Oldham, from BKL, said: “Upon our appointment we talked about our hope that the company could resume flying operations in the short-term. This initial investment from TAA delivered that objective and now presents us with an opportunity to look more confidently towards the future. Over the next few weeks we will be working to propose a formal way forward with MK’s creditors. If we can reach that agreement then we hope to also deliver additional funding that will secure MK’s long-term viability as a highly regarded all-cargo airline.”

The Belfairs Management Group is a diverse international organisation with an asset-base in the medical, property and aviation industries.

Transatlantic Aviation is the jewel in the crown of the group's global activities. It has a fleet of Boeing 767s and Boeing 747s, serving some of the leading airlines in the world.

(http://www.aircargonews.net/article.asp?art_id=3454)

How must we understand that initial funding arrangement, to be "updated" by an additional funding, ...if a CVA agreement with MK's creditors should be reached? It doesn't sound that nice.

[superspotter]

"It has a fleet of Boeing 767s and Boeing 747s, serving some of the leading airlines in the world."

Interesting!!
If you go onto Belfairs web-site then click on the Aviation tab, it shows you their "substantial" 767 fleet "working with some of the largest airlines in the world" i.e UAL and all parked in the desert:rolleyes:

[Yak97]

TAA provided the 2 ex-UKIA B767-200 aircraft. One is at EMA the other is still (?) in Brunei. Both are very early ex UA 767's. Can't see it would be worthwhile putting freight doors in?

[snarfel]

Superspotter,

Is your suggestion then that if TAA would buy the MK airline outright after possible CVA agreements, the MK fleet would then join the UAL aircraft parked in the desert ?

[Metro man]

Basically sounds like they are back flying while negotiating with their creditors.

In this situation the creditors are asked to accept X number of cents on the dollar in full settlement of the outstanding amount. The carrot being this could be more than they would get if they forced bankrupcy, and they would have further business from the company.

Might work out for MK as their aircraft are old and wouldn't fetch much in an auction at the moment.

[superspotter]

I dont recall making any suggestions Snarfell, just observations.....

[Coleman Myers]

Keep on "observing" and you might just "spot" a 767F in MK livery sooner or later.I understand the boneyards are where Mike Kruger found his first 747F and there is no reason why he cant make it happen again !. And thats snarfel with one "L" not two - poor "oberseravavations" :E

[Need to Know Basis]

A B767F would never work for African routes. Still too thirsty versus achievable yield. A B747F does.....depending upon price of fuel and how many hands you have to cross with silver.:}

[Towerman]

This is a real can of worms. Yes - Belfairs bought 18 ex UAL 767's for around $3M each and sold about half to Gabon, Russia and a couple of other unfussy operations. They also bought two 747 combis from Kuwait Air. No doubt Belfairs have suggested to MK that they pay to put these aircraft back into service then lease them from Belfairs - this is exactly what happened with UKIA and their B767's.

1000 dollar question - has Belfairs actually paid over hard cash to MK or the administrators - if not then why not....

[bearkeeper]

Towerman

Those of us that know MK Airlines, have great respect for their guys & gals and also for Mike K; it therefore comes as a surprise that they have become involved with "investors" such as Belfairs/TAA, who (from what I've heard recently) can only be described as a bunch of Cowboys.

I tend to agree with your synopsis regarding the B747 combi's, as this was certainly what Belfairs did to UKIA with the B767's - unfortunately in that case they were dealing with an even bigger Cowboy!!!

It will certainly be interesting to see how this all pans-out but my thoughts are with the hard-working people of MK Airlines who have a past (and I hope future) to be proud of.

[Towerman]

Bear - I have no truck with MK who have done an incredible job over many years and in the face of adversity. I am just concerned that all is not what it may seem. What was that saying - beward the man who comes bearing gifts... There are liens all over the place on the TAA 767s and Est Midlands Airport and Brunei Maintenance where the aircraft are sitting will surely take steps to seize them. I do not believe they are insured nor that bills are paid for maintenance. Therefore I have to conclude that NO MONEY in hard cash terms has been paid to MK because there is no money.......................
:confused:

[Angel`s Playmate]

Any update ?

They seem to be flying again.:ok:

Saw one of their birds in HKG two days ago, but idle on the ramp with no action around.

[Metro man]

While under administration, the administrator guarantees payment for any debt incurred AFTER he takes over. Therefore, as long as fuel, landing fees, crew wages, insurance, handling and ATC charges are paid the aircraft can fly as long as the maintenance release is current.

It is short term only, to keep the company alive to be sold as a going concern ,or possibly generate some more funds for the creditors if things are wound up. Attractive rates could be offered as the administrator isn't concerned with long term planning for major checks, engine overhauls and eventual fleet replacement. As long as he can turn a profit after covering the day to day costs, aircraft fly.

MK have a fleet of obsolete, fuel inefficient aircraft. The business model may have worked when oil was cheap, ie it burns more fuel but costs alot less to lease/buy. With the current fuel price this MAY have been turned on its head, airlines in the states are rushing to retire their MD80s, DC9s and 727/737-200, and replace them with modern economical types.

However if the creditors push for things to be wound up the aircraft are unlikely to realise much in a fire sale with oil at record highs and everyone else dumping older jets. It may be in their interest to forgive a % of MKs debts and allow a restructuring plan to get things going again. But modern freighters may be difficult and expensive to obtain with everyone else having the same idea, also an investor would need to be adventerous to invest in aviation at the moment.

Interesting times.

[putt for dough]

Interesting times indeed, however I am glad that they are up and
running again!:ok:
Curious to see how many crew left during the "closed shop" period?

[hydroplane]

No company can by found by the name of TAA at the Companieshouse
WebCHeck - Select and Access Company Information (http://wck2.companieshouse.gov.uk/0d21aa402b984b5c954090dabffa3dd4/wcframe?name=accessCompanyInfo)

The only company I can trace is as follows:

company number:01605394
company name:TRANSATLANTIC AVIATION LIMITED

Registered office address:
63 JERMYN STREET
LONDON SW1

status:Dissolved 03/02/1987
incorpoarated on 21/12/1981

Certainly not British! Who the heck is TAA. Supposetly a leasing company?
With no planes?

Or is it based on a tax shelter for obvious reasons?

[hydroplane]

Think I found the answer myself,

Transatlantic aviation Ltd (part of The Belfairs Management Group Ltd 1 (http://thebelfairgroup.com/)), is indeed (what else to expect) based on the (British) Virgin Islands, a "Tax Heaven (http://www.eurodad.org/uploadedFiles/Whats_New/Reports/deathandtaxes.pdf)"! Correct?

Apparently TAA circles around troubled companies, type Ch11 (see for ex. 2 (http://www.tiscali.co.uk/news/newswire.php/news/reuters/2006/09/29/business/bolivian-airline-calls-off-deal-with-taa.html&template=/business/feeds/story_template.html) and 3 (http://bankrupt.com/TCR_Public/041105.mbx)).
Core buss.: "meeting demand for commercial airliners, engines, parts and interiors".

MK is in fine hands!

p.s.: is Belfairs British? Good old Margaret, she did a fine job. Is her son is still engaged in Aviation?

[snarfel]

Freight Feeder Aircraft Corporation announced today that the company has entered into a Letter of Intent with MK Airlines for the purchase of ten FF5000 Freight Feeder Aircraft, with an option to purchase an additional five.

Officials of both Freight Feeder Aircraft Corporation and MK Airlines plan to meet within the year to complete the final negotiations. The purchase order will become finalized upon "first flight" of the FF5000 Prototype currently under construction. The planned completion of the FF5000 Prototype Aircraft is in the spring of 2009.

(MK Airlines European Launch Customer for the FF5000 Freight Feeder Aircraft - FOXBusiness.com (http://www.foxbusiness.com/story/markets/industries/industrials/mk-airlines-european-launch-customer-ff-freight-feeder-aircraft/))

FF5000: http://www.freightfeeder.com/About%20Us.html

What is this all about? Is this a joke?

[Yak97]

Shades of the Ayres Loadmaster and the large FEDEX order, that came to nothing.

New build cargo aircraft, especially a brand new design and not a spin off of an existing passenger airframe, are too costly when the restricted utilisation and earning potential is considered.

I note that the press release appears to have skipped over MK's recent "little difficulty".

[Beavis and Butthead]

Are my eyes decieving me, or is this FF5000 a re-engined and stretched version of the Shed?? :8

I can't imagine an administrator in the UK placing an order as a launch customer for a new, unproven aircraft.

[silverstreak]

A Shed on steroids! Will take a lot to beat the Shed... It did what it said on the tin, albeit a bit bumpy, noisy and slow - it was a great aircraft and still plies the skies today, sadly not as frequent or popular...

Had many a flight in the 360 and enjoyed every minute!

[t-bird200]

First of all congrats for MK! Good to hear that they can keep up flying!

The idea is not bad in times were fuel is expensive to commence operations with turbo prop aircraft. But eh... A newly still to develop aircraft? Wouldn't it be easier to buy Q400 ( Some scandinavian airline still has some left :}) and convert them to freighters? And as MK was searching in the desert for their first B747 isn't there any C130 left for the same idea?

Cheers!

[t-bird200]

First of all congrats foor MK! :D Great that they can continue flying!

The idea of flying a turboprop aircraft is not bad in times were fuel prices are high! But why choose a newly still to develop aircraft? Wouldn't it be easier to select for example the Q400 (of which a scandinavian operator still has some for sale :}) and convert them to freigthers? Or maybe if MK was looking in the desert for its first B747 there is a C130 left? Much safer to use an already prooven aircraft then going in to a new adventure after the financial trouble.

cheers

[Morrihell]

B742 F-GCBD arrived Filton Tuesday afternoon.

MH

[snarfel]

A company under administration that will invest in expensive prototype still under construction aircraft ...and a prototype builder that didn't get a better choice than a company in financial trouble as its European launch customer??? ...and this in general troublesome times ahead?

This is definitely fake.

[snarfel]

On 18 August a meeting of MK's creditors will be held in order to approve or reject the Joint Administrators' proposals for a Company Voluntary Arrangement. Should the CVA proposals not be accepted by the creditors, the Joint Administrators may then choose to exit the administration by either creditors' voluntary liquidation or compulsary liquidation.