DAT's Future Still Cloudy
Join Date: Oct 2001
Location: Belgium
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Guv-nerd,
I really thought at least YOU would know more about this kind of business deals...
The money is not coming from VEX (Belgium) itself (which is highly unprofitable since the bankruptcy of SN), but will come straight from the UK via a financial branch of the Virgin Group. It will be directly invested in dat's future mother company Air Holding NV/SA, without first passing via VEX.
In fact, the aim seems to be to get rid of the name Virgin Express and its low fares product all together by merging it with dat under the name of Sabena Europe!
That way the shareholders of Air Holding will in fact have successfully created a single, medium-sized, stock-exchange listed airline with a quasi monopoly in Brussels!
Also, it would immediately provide New Sabena Sabena with a significant intercontinental partner (Virgin Atlantic) for their much wanted flights to the USA and Asia (via LHR where dat has 9 daily rotations), whereas New Sabena would more easily get the cash (an emission of extra shares) and passengers (Virgin Atlantic) to relaunch the most interesting part of its African network.
To bad you couldn't work out this kind of basic business analysis yourself...
I really thought at least YOU would know more about this kind of business deals...
The money is not coming from VEX (Belgium) itself (which is highly unprofitable since the bankruptcy of SN), but will come straight from the UK via a financial branch of the Virgin Group. It will be directly invested in dat's future mother company Air Holding NV/SA, without first passing via VEX.
In fact, the aim seems to be to get rid of the name Virgin Express and its low fares product all together by merging it with dat under the name of Sabena Europe!
That way the shareholders of Air Holding will in fact have successfully created a single, medium-sized, stock-exchange listed airline with a quasi monopoly in Brussels!
Also, it would immediately provide New Sabena Sabena with a significant intercontinental partner (Virgin Atlantic) for their much wanted flights to the USA and Asia (via LHR where dat has 9 daily rotations), whereas New Sabena would more easily get the cash (an emission of extra shares) and passengers (Virgin Atlantic) to relaunch the most interesting part of its African network.
To bad you couldn't work out this kind of basic business analysis yourself...
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Sabenapilot - the point of my post, which obviously sailed right over your head; as indeed so many things do <img src="rolleyes.gif" border="0"> - is that Virgin Group simply does not have €25m spare to invest in anything other than attempting to keep themselves afloat.
And, considering that the low fare-no frills business model is the only one that is consistently profitable; why would they want to abandon that in favour of a quasi-state owned carrier that is likely to emulate its parent? <img src="eek.gif" border="0"> <img src="rolleyes.gif" border="0"> <img src="eek.gif" border="0">
And, considering that the low fare-no frills business model is the only one that is consistently profitable; why would they want to abandon that in favour of a quasi-state owned carrier that is likely to emulate its parent? <img src="eek.gif" border="0"> <img src="rolleyes.gif" border="0"> <img src="eek.gif" border="0">
Join Date: Oct 2001
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Well If they Virgin doesn't have the money, than explain me how they have managed to pay it already to the AIRHOLDING yesterday evening?
(without sailing over my head as you so poetically say...)
(without sailing over my head as you so poetically say...)
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Is that so, Sabenapilot? And what, exactly, are your sources for this piece of very interesting news? I've just spent the last 30 minutes chatting to a mate at VEX who has been involved with the negotiations who described it as "wishful thinking" on the part of Lippens & Co who must eliminate all of their competition in order to look even vaguely viable. Even today's Financieel Economische Tijd confirms that it's unconfirmed! <img src="rolleyes.gif" border="0"> 
<img src="rolleyes.gif" border="0">
<img src="rolleyes.gif" border="0">
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And the Financial Times reports about a refusal of the Davignon offer by the curators...
Anyway, hope this turns out to keep more pilots off the market, all the contracted pilots at DAT received their notice for the end of the year...
forgot the link if someone is interested...
<a href="http://totalsearch.ft.com/totalsearch/expand.jsp?searchCat=9&offset=0&query=DAT&resultsToShow=20" target="_blank">http://totalsearch.ft.com/totalsearch/expand.jsp?searchCat=9&offset=0&query=DAT&resultsToShow=20</A>
[ 21 December 2001: Message edited by: FL310 ]</p>
Anyway, hope this turns out to keep more pilots off the market, all the contracted pilots at DAT received their notice for the end of the year...
forgot the link if someone is interested...
<a href="http://totalsearch.ft.com/totalsearch/expand.jsp?searchCat=9&offset=0&query=DAT&resultsToShow=20" target="_blank">http://totalsearch.ft.com/totalsearch/expand.jsp?searchCat=9&offset=0&query=DAT&resultsToShow=20</A>
[ 21 December 2001: Message edited by: FL310 ]</p>
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From today's Sunday Times...
[quote]A Belgian Xmas for Branson
DOMINIC O’CONNELL
SIR RICHARD BRANSON has been given an early Christmas present: a deal that will make Virgin Express, his low-cost carrier, part of Belgium’s new national airline.
The country has been without a flag carrier since the collapse of Sabena last month.
On Friday a group of Belgian investors paid the company’s receivers a symbolic one euro for Delta Air Transport, a Sabena subsidiary, after two days of frantic negotiations.
It is understood that the investors, who have raised 180m euros, will merge Delta with Virgin Express. The name of the merged company has yet to be decided.
The new airline will take over Virgin Express’s listings in Brussels and on Nasdaq.
Branson owns 51% of Virgin Express. It is not known what holding he will have in the merged company.
Virgin Express was set up in 1996 when Branson bought EuroBelgian Airlines and revamped it as a no-frills operation. It has had a chequered history — an operation in Shannon, Ireland was forced to close in the face of mounting losses — but has fared better since Sabena’s demise.
The Belgian investor group is headed by Etienne Davignon and Maurice Lippens, two of the country’s most respected business figures. They have recruited Robert Kuijpers, former chief executive of the freight carrier DHL Express, to be the chief executive of the merged venture.
The new airline is expected to be smaller than Sabena but will run services to America and Africa as well as within Europe.
Sabena, which had for years struggled with heavy debts, high operating costs and government interference, was one of the first airline casualties of the September 11 terrorist attacks on America. The collapse of its shareholder Swissair, and its failure to inject promised funds, was the final straw.
<hr></blockquote>
[quote]A Belgian Xmas for Branson
DOMINIC O’CONNELL
SIR RICHARD BRANSON has been given an early Christmas present: a deal that will make Virgin Express, his low-cost carrier, part of Belgium’s new national airline.
The country has been without a flag carrier since the collapse of Sabena last month.
On Friday a group of Belgian investors paid the company’s receivers a symbolic one euro for Delta Air Transport, a Sabena subsidiary, after two days of frantic negotiations.
It is understood that the investors, who have raised 180m euros, will merge Delta with Virgin Express. The name of the merged company has yet to be decided.
The new airline will take over Virgin Express’s listings in Brussels and on Nasdaq.
Branson owns 51% of Virgin Express. It is not known what holding he will have in the merged company.
Virgin Express was set up in 1996 when Branson bought EuroBelgian Airlines and revamped it as a no-frills operation. It has had a chequered history — an operation in Shannon, Ireland was forced to close in the face of mounting losses — but has fared better since Sabena’s demise.
The Belgian investor group is headed by Etienne Davignon and Maurice Lippens, two of the country’s most respected business figures. They have recruited Robert Kuijpers, former chief executive of the freight carrier DHL Express, to be the chief executive of the merged venture.
The new airline is expected to be smaller than Sabena but will run services to America and Africa as well as within Europe.
Sabena, which had for years struggled with heavy debts, high operating costs and government interference, was one of the first airline casualties of the September 11 terrorist attacks on America. The collapse of its shareholder Swissair, and its failure to inject promised funds, was the final straw.
<hr></blockquote>
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Off, on, off, on - more times than a whore's drawers! <img src="rolleyes.gif" border="0">
From today's ATWOnline
[quote]Virgin Express denied rumors that it plans to invest €24.9 million ($22.4 million) in New DAT. The parties are talking, though, about reviving a three-week codeshare agreement that expired Dec. 13 after DAT refused to sign an extension, a Virgin Express spokesperson said. Meanwhile, it became increasingly likely that former Sabena President and CEO Christophe Mueller will leave the airline after he was excluded from the DAT-Virgin Express talks.<hr></blockquote>
From today's ATWOnline
[quote]Virgin Express denied rumors that it plans to invest €24.9 million ($22.4 million) in New DAT. The parties are talking, though, about reviving a three-week codeshare agreement that expired Dec. 13 after DAT refused to sign an extension, a Virgin Express spokesperson said. Meanwhile, it became increasingly likely that former Sabena President and CEO Christophe Mueller will leave the airline after he was excluded from the DAT-Virgin Express talks.<hr></blockquote>
