Flybe

[jfy1999]

I don`t think Easy or Ryanair would be the fit for Flybe, more like Stobart or Loganair size

I think it all depends on what any prospective buyer would want out them. In the case of Ryanair and Easyjet and IAG would they want a regional arm? Neither of them especially Easyjet and IAG have shown much interest in the UK regional scene and operating the types of routes Flybe operates you only have to look at Newquay as an example of that.
With the likes of Stobart Air and Loganair they are quite niche carriers and do they want to expand to become a lot bigger. Loganairs owners might want to add Flybe as a separate entity but they would have to put aside a lot of capital for it.
Annother option is a foreign airline like KLM/AF or Qatar investing in the airline and giving it the capital boost it needs.

Apologies, I don't think I made myself clear. I was thinking the BHX management should approach Ryanair and easyJet to see whether they are interested in adding based aircraft in the event of Flybe going under.

I believe Woody posted elsewhere that Ryanair offered to add more based aircraft at BHX post-Monarch and were turned down because BHX didn't have any stand space.

 

[Brum X]

I don`t think Easy or Ryanair would be the fit for Flybe, more like Stobart or Loganair size

I think you have the wrong end of the stick, jfy was referring to BHX approaching Ryanair or Easyjet not either of them two taking over flybe

I totally understood you jfy

 

[mullion]

Thats not what I meant, they would not be right for most of the routes ex BHX or MAN except the ones that they already compete with FlyBe ex MAN i:e CDG, AMS. Easy with A319s maybe but they are going rapidly now and Ryanair B738 way to big and to be honest they probably have no spare aircraft around

 

[Brum X]

I think you have the wrong end of the stick, jfy was referring to BHX approaching Ryanair or Easyjet not either of them two taking over flybe.

Thats not what I meant, they would not be right for most of the routes ex BHX or MAN except the ones that they already compete with FlyBe ex MAN i:e CDG, AMS. Easy with A319s maybe but they are going rapidly now and Ryanair B738 way to big and to be honest they probably have no spare aircraft around

I dont agree, considering Easyjet fly routes including Bristol- Edinburgh i think they would be perfect for Birmingham-Edinburgh and so on.

 

[mullion]

Bristol is as far from BHX as BHX is from MAN and we hardly have any GLA/EDI flights because train is a lot easier and quicker
so in a smaller way it is from BHX and to add to that business want frequency of several a day because if a meeting over runs they know there will be another flight in an hours or so, I know this as I worked in business travel for 15 years for a company that was one of the largest in the UK with many many people travelling every day both by rail and air

 

[Jon Dempsey]

When I’ve been in Edinburgh on business, I’ve always booked the first flight up and the last flight down with a ticket which allows me to jump on an earlier return flight if necessary.
FlyBe’s unreliability has usually meant that the earlier returns were consolidated onto the last flight of the day.

 

[Brum X]

Bristol is as far from BHX as BHX is from MAN and we hardly have any GLA/EDI flights because train is a lot easier and quicker
so in a smaller way it is from BHX and to add to that business want frequency of several a day because if a meeting over runs they know there will be another flight in an hours or so, I know this as I worked in business travel for 15 years for a company that was one of the largest in the UK with many many people travelling every day both by rail and air

I cant comment on Manchester to Edinburgh by train but i can assure you it is not easier to travel from Brum to Edinburgh by train, in fact it is one hell of a journey on Cross country trains via Nottingham, Leeds, Newcastle etc etc etc.

Im pretty sure Easyjet would make a killing on this route but what do i know.

 

[Ray Finkle]

Im pretty sure Easyjet would make a killing on this route but what do i know

If the rumours were true easyjet came very close to starting EDI-BHX a few years ago.

There is no doubt that they would do well on the route but not at 7x daily like Flybe, something like 2/3 daily could work.

 

[nwoody2001]

https://www.headforpoints.com/2018/11/17/why-flybe-will-not-go-bankrupt/

Interesting read ...

 

[JF57]

https://www.headforpoints.com/2018/11/17/why-flybe-will-not-go-bankrupt/

Interesting read ...

Indeed very true. If people stop booking with them they will probably go under. I think something needs to happen quite soon to restore confidence as the recent statements will have dented confidence

 

[Jerry]

Indeed very true. If people stop booking with them they will probably go under. I think something needs to happen quite soon to restore confidence as the recent statements will have dented confidence

Hopefully what is happening with Brexit might be a good smokescreen for them.

 

[BHXsupporter]

What is happening with Brexit? If you know then millions would love to hear!

 

[JENNYJET]

I would love to walk anyone through the mechanics that are BREXIT but sadly my time on Earth is somewhat restricted.

Essentially, it is both a legal matter and when that is done with it becomes a political pudding for our European friends.

In Law, the UK formally leaves 29th March next. All the guff in the media is not to be taken seriously but put simply it is now about how UK trade and otherwise relate to the institutions of Europe e.g Aviation protocols, travel and immigration.

During my LAW Studies, a whole chunk was devoted to EU Law and it was torturous work.

The current hiatus is only about the formal withdrawal, not future trade or other matters and this is why PM MAY as gone this day to Brussels. To prepare for the end of month EU Summit of political leaders.

There you are, hoping my tutors look kindly at this essay

 

[jon01]

Virgin Atlantic in surprise bid to take off with Flybe

 

[Jerry]

Virgin Atlantic in surprise bid to take off with Flybe

Kind of does make sense as they are already codeshare partners and provides them with feed not too mention Flybe does have a good presence at AMS which could be beneficial to KLM to free up slots for them.

 

[thunderchild]

Virgin Atlantic in surprise bid to take off with Flybe

I’m sure that headline should read Delta in surprise bid for Flybe!

 

[andrew.clarkson]

Hi there jon01, I'm surprised that you think that delta would make any kind of bid at all, either easyJet, stobart air or even I a g, as a match for level... AndyC

 

[Jerry]

Hi there jon01, I'm surprised that you think that delta would make any kind of bid at all, either easyJet, stobart air or even I a g, as a match for level... AndyC

Technically it would be Virgin making the bid. As they are a long haul airline it would be a good way for them to get a short haul operation.

 

[smithy108]

Here is the story off Skynews

Virgin Atlantic, the carrier part-owned by Sir Richard Branson, is in talks about a surprise takeover bid for Flybe, the regional airline that last week bowed to growing financial pressure and put itself up for sale.
Sky News has learnt that Virgin Atlantic has opened discussions with Flybe's advisers about making an offer for the London-listed company, four years after announcing the closure of Little Red, an earlier attempt to crack the domestic UK market.

Sources said the transatlantic airline was pursuing an interest in Flybe because of the opportunities a tie-up would provide to feed passenger traffic into Virgin Atlantic's long-haul network, as well as its access to valuable take-off and landing slots at London Heathrow Airport which are ring-fenced for domestic flights.

The two carriers already operate a code-share pact aimed at improving access to Virgin Atlantic's long-haul routes for regional customers using the regional airline's flights into Heathrow and Manchester.
Rothschild, the investment bank, is advising Virgin Atlantic on its interest in Flybe.
Although an offer from Virgin Atlantic for Flybe would not be large in monetary terms - the latter had a market capitalisation of just over £20m at Thursday's closing share price - it would be a significant combination in a British aviation sector which is viewed as requiring further consolidation.
Rising oil prices and the weakening of sterling have put airlines under intense pressure, with a deepening industry price war accentuating the financial squeeze.

Monarch Airlines crashed into insolvency in 2017, while more recently, Primera Air, a budget carrier which began offering long-haul flights from British airports this year, filed for administration. If Virgin Atlantic succeeded with an offer, the Flybe brand would also be unlikely to survive, according to industry analysts.
Sir Richard launched Little Red in 2013 after gaining slots that arch-rival British Airways was forced to relinquish after its takeover of bmi.
However, the tycoon threw in the towel less than two years later, blaming the "meagre package of slots" with which it had operated.

A takeover of Flybe by Virgin Atlantic could be complicated by competition from a rival bidder such as Stobart Group as well as the protracted state of negotiations about Virgin Atlantic's ownership.
The company agreed a three-way deal last year with Air France-KLM and Delta Air Lines under which the Franco-Dutch group would acquire a 31% stake in Virgin Atlantic from Sir Richard's holding company for £220m.
Virgin Group intends to retain a 20% stake and the right to appoint the airline's chairman, while US-based Delta would retain its existing 49% shareholding.

The transaction remains subject to regulatory approvals, which could be affected by a no-deal departure by the UK from the European Union. Virgin Atlantic's need to secure a berth as part of an alliance with better-resourced rivals was underlined again this year when it reported a £28.4m loss before tax and exceptional items for 2017.
The company announced a change of leadership in June, with Craig Kreeger due to step down next month as its chief executive after nearly six years at the helm. He will be replaced by Shai Weiss, its chief commercial officer.

Industry insiders confirmed that Virgin Atlantic and Stobart were the leading potential bidders for Flybe, with easyJet understood not to be interested in making an offer for the company. Stobart, which is the focus of a bitter courtroom battle between board members and its former chief executive, abandoned a previous bid ‎earlier this year.

Since confirming that it was exploring a sale, Flybe has taken further steps to shore up its finances, announcing an extension of its borrowing facilities and a £5m sale and leaseback of an aircraft hangar.
The Exeter-based carrier, which last week reported a halving of pre-tax profit for the first half of the year, has drafted in bankers at Evercore to handle the talks about a potential deal.

Although tiny in financial terms, Flybe remains one of the UK's best-known airline brands, carrying thousands of passengers between largely second-tier British airports as well as European destinations.

At the end of September, Flybe retained a fleet numbering 78 aircraft, and has promised investors that it would continue to reduce capacity to focus on its most popular routes.
Flybe and Virgin Atlantic both declined to comment on Thursday evening.

 

[Kevin Farnell]

I'm concerned about what parts of Flybe Virgin Atlantic are interested in. From the above report, it seems that LHR slots and feeds into their longhaul flights from LHR and MAN are their aim. Where does this leave the remainder of Flybe's UK operations?
I wonder if Flybe's management are now kicking themselves for not accepting the earlier Stobart bid. It would be interesting to know what that bid was and how it compares to todays market value of Flybe.
Hoping for the best outcome for Flybe, it's emplyees and operating bases.

Kevin