CTC Sold

[FANS]

So that everyone is in the loop, it's worth noting that CTC has been sold to a private equity business.

Won't necessarily change things, but PE houses can be very good at driving further cost savings!

[MCDU2]

PE houses are very good at reducing overheads, maximising value from a business, cleaning up balance sheets and reducing debt and then selling it on 2-3 years later for a massive profit.

[mattyj]

"Polishing a turd" if you will...

[FANS]

It would probably be a wise student who waited for a few months before committing to this course now.

Such changes in ownership are often detrimental to staff and customers, although any press releases will always talk about this allowing significant new investment from Inflexion and HSBC worth tens of £millions!

[PrestonPilot]

Does anyone have a link for this?

Why would this have happened and realistically what effect will this have?

[Fair_Weather_Flyer]

Sound like a good time for the Cash Taking Captains to cash in one last time. Without them though and there dubious links to the airlines I'd be surprised if this private equity outfit can make it work.

[FANS]

Yes - a final payday for the Captains, leaving behind a business with even greater debt payments to service.

This deal will be nicely dressed up as ensuring that CTC has the investment required for the booming growth in pilot training in asia....

[turbine100]

Oxford was bought by GCAT with U.S investment, built up a bit with Asia business etc and then sold to CAE. Perhaps GCAT could see student / cadet loans would be harder to obtain and less people in the pipeline and decided to build it up a bit and then sell out whilst ontop.

[Matt7504]

What source has this information come from, how do we know it has been sold to PE Houses?

[HPbleed]

Inflexion Private Equity: News and press (http://www.inflexion.com/news_and_press/inflexion_flying_high_inflexion_completes_the_mbo_of_ctc_avi ation)

[jhr187]

As far as I can see, the current directors are staying on in directing roles. Perhaps this is nothing more than wishing a 'Dragons Den' style cash injection to take advantage of the expanding far east market, with the promise of high rewards for the investors, rather than a 'jump ship' before it sinks?

[BitMoreRightRudder]

If you read the article i think jar187 is closer to the actual reasoning behind the sale. The big expansion for CTC is planned in the far east, particularly China, so I don't think any of the current CTC board will be fleeing for the hills just yet. I can't see how it will affect current or future cadets either, there will be jobs, just not very many in the UK....anyway, I'd hate to see Dibden Manor go, that pesky 737 groundschool was far more civilised with tea, cake and a spot of golf after lunch :p

[ford cortina]

I would wait and see, Private Equity....they have no experience in Aviation.:confused:
Good luck to all out in New Zealand

[Groundloop]

Private Equity....they have no experience in Aviation

Well, 3i did pretty well buying Go from BA and selling on to easyJet!:ok:

[Joe86]

I hope CTC doesn't close up shop in the UK, but the ATP scheme has stopped, easy jet only offering summer contracts... not looking good.

Dam I wanted to join their cadet scheme next year :(.

[VNAVPTH]

Hi joe86,

Sorry you feel that way. Just out of interest, what is it that attracts you to the easy cadet scheme, compared to others schemes? Not passing any judgement, just curious.

[Joe86]

Happy to answer... Basically after chatting to flight schools and doing my research I narrowed it down to CTC for integrated training and the Bournemouth jet line course for modular.

For me start-finish training without gaps would be best and CTC have their holding pool and links to airlines which most schools don't have, CTC also have links with easyjet. Plan B would be do the jet line course at Bournemouth and then try Ryainair etc...

Why easy jet? I'm an Airbus repair design engineer and know the A320 family well which would make excellent background knowledge for training/flying with easy jet as I think they have phased out all the 737s now. For some strange reason I also like easy jet as an airline, as a passenger always been good and I’ve heard good things from staff, also they operate from my local airport 'Bristol' :).

P.S. Also very keen on the Flybe cadet scheme, which I will be applying for next time it comes around. Looks good on paper and Flybe is a 'local airline' with modern aircraft types in service e.g. Q400 and EJR 170/190.

[VNAVPTH]

Thanks for responding. To narrow it down further if I may, should you be in a position with CTC to fly for Flybe on a dash on 28 grand per year ( incremental pay scale) permanent contract salary, or easy on the a320 and contracting at 1200 a month, until a permanent position became available somewhere, which would you choose?

The reason I ask is, when I trained such a predicament didn't exist, but I'm not sure nowadays what young people want as a first job/ career, given the various options.

[Matt7504]

Correct me if Im wrong, but the understanding I seem to have with everyone saying "Oh no there no jobs, oh its so hard to get your grips onto the industry" is that for your first job you just have to take what you can get. Though, if I had the choice I would probably go for the Flybe job. Though it is still a somewhat difficult question, 28k a year for the turboprop or a 6 months contract on a jet a at £1200 a month which would get you those vital 500 hours hmmmm

[Joe86]

Yeah it is a really hard decision, to be honest the pay is to me is not as important as a stable job... So with that in mind I would Try flybe first (as they will knock £20k off your training costs) and its a stable job. If that fails try easy jet... if that fails I have loads of plan C's, D's, E's etc... :).

[BlackandBrown]

It's stable is it?

Flybe shares nosedive on fresh profit warning | Business | The Guardian (http://www.guardian.co.uk/business/2012/jan/10/flybe-shares-nosedive-profit-warning)

A momentary blip?

The year before:

BBC News - Flybe shares nosedive 36% after second profits warning (http://www.bbc.co.uk/news/business-15181493)

[BerksFlyer]

BlackandBrown,

A profit warning and subsequent 30% drop in share-price does not mean bankruptcy is on the cards. Ryanair issue profit warnings routinely before announcing record profits. They obviously find benefits from doing so. It isn't as simple as you are implying.

A Flybe permanent contract is many times more stable an employment than an easyJet Flexi-Crew temporary contract. And that is the point in question.

[BlackandBrown]

Flexicrew isn't a stable life or job, we agree there.

[PrestonPilot]

City Flyer, I think you are being a bit harsh saying he is speaking total rubbish.
All he actually was referring to was this 1 company has no experience in aviation, which I think is true isn't it?
Your examples are good but these companies didn't buy CTC.

[ford cortina]

I'd also warrant that they read this in detail, so you'd be a fool to mouth off and leave yourself identifiable.


Absolutely agree, however two small things:
1, I am not 'Mouthing Off' just expressing a opinion.
2, I am not a wannabe.

[Groundloop]

6 months contract on a jet a at £1200 a month which would get you those vital 500 hours

You would probably be very lucky to reach 500 hours in 6 months - more likely you would fall just short of the magic number.

[Matt7504]

In which case, I would proceed to choke slam someone >:D

[future-pilot]

6 months contract on a jet a at £1200 a month which would get you those vital 500 hours Are you sure? I heard that CTC cadets were offered a flexicrew contract for 8 months not 6. After which if you aren't given the full contract by Easyjet CTC puts you back in the hold pool. Is that true?

[Shytehawk]

I wonder how long Billett will last under the new regime?

[greywind]

Are you sure? I heard that CTC cadets were offered a flexicrew contract for 8 months not 6. After which if you aren't given the full contract by Easyjet CTC puts you back in the hold pool. Is that true?

CTC cadets do indeed get 8 month initial engagement, though it's £1200 a month living expenses payments and you are technically not employed. Normally at the end of this period you'd go on to the flexi crew contract proper - not a permanent contract in the employment of easyjet.
Those entering now are not even being kept on as flexi crew, they're doing 8 months and then it's bye bye for the winter. No idea if they'll be back next year or if CTC will find them other jobs in the meantime.

Also people aren't making the 500 hour targets during those 8 months, mainly due to improved crewing levels at the company I think.

[PrestonPilot]

People are making the 500 hours actually, and you go back to the hold pool.

[Matt7504]

I assume if you make the 500 hours with Easyjets 8 month contract and go back in the hold pool, round 2 in the pool is much easier? :D

[greywind]

People are making the 500 hours actually

I didn't mean to imply that everyone wasn't making the 500 hours, I agree people are. However it's worth noting, and being aware, that there are plenty of people who aren't hitting that magic 500 number as well.