Monarch Airlines

[Tarn Spotter]

Their recent press releases say they are dropping the tour operator business, therefore cant see why this is going to have any bearing on the future, other then if the tour operator seat numbers were high on certain routes could put that route in doubt.

 

[SNOWMAN]

tarnspotter
if monarch drop the tour operators on there flights ex LBA ie Thomas cook + some of the smaller ones I think most of there flights would be in trouble pax wise,we have a family member works for TC and told me up to 50% of the seats are theirs.also what would happen to TCook holidays ex leeds.lets just hope monarch stays as they are or put extra flights on and include T/COOK and push up the figures.
and don't want to start a low cost opps at Doncaster and have it all to them selves.
just my thoughts.
regards to all
sm1

 

[whoshotjimmi]

If I may wade in with my own two penneth, 2014 has been a very bad year for aviation. Though it seems somewhat ludicrous me saying this as I watch the rain pour down outside my window, the excellent weather so far this year has put many potential customers off - those who would normally vacation outside the UK have chosen to stick around. This has clearly hurt airlines who have been having "fire sales" for what seems like months now. All of the resident airlines have been hit by this. Furthermore, there have been numerous, high profile events, mainly involving Malaysian Airlines (who are now just days from bankruptcy) that have shaken confidence in air travel. The fact that it is on our own doorstep in Europe is even more troubling for European travellers as, previously, one could almost look the other way safe in the knowledge that it was in some other part of the world that we will not encounter. The subsequent closure of Ukranian airspace and the potential closure of Russian airspace to Western airlines is only adding to the fear and the cost. Add that to conflict in Lybia, Syria, Israel and Iraq PLUS additional security measures on US flights and the recent shambles at Gatwick (of which Monarch was particularly hard hit) and it is unsurprising that they are just sitting back and taking their time to see what the damage is.

If sales of holidays next year are already being lowered in price, it should tell everyone EXACTLY the state of the industry and I would not be surprised if airlines scaled back dramatically in preparation for what will be a very tough year. I can see a number of European carriers going out of business in the next 12 months and I would certainly put the likes of Monarch and Thomas Cook on the risk list.

Combine this with the current level of stagnation at LBA and I think we should prepare for the worst and be happy if it doesn't occur.

 

[lbaspotter]

I hear there is No need to worry about Monarch at LBA. All will be revealed shortly.

Don't hold me to this but I've been told we might not be getting the rumoured 3rd based aircraft afteral. I have heard new routes are been added but this is been done by utilising the current 2 based aircraft more extensivly. so we may see some late night departures over the weekend meaning some days the aircraft could be getting 3 rotations in.

Hence the airlines summer 2015 scheduled is currently under review and will not be released for sale until new slots have been acquired.

Ps surely if Monarch closed the base they would have a massive problem with the airports owners Bridgepoint Capital as they would be in breach of contract? "As if I remember they signed a 3 year deal". so that would.mean Monarch effectively closing a base 2 years into a 3 year deal! And that's not going into any deals Monarch have with companies whom sell seats tonboard aircraft as well as the Leeds based Flight and Cabin crews contracts. I wouldn't want to be involved in them negotiations...

 

[User0001]

Ps if Monarch closed the base they would have a massive problem with the airports owners Bridgepoint Capital as they would be in breach of contract. Closing a base 2 years into a 3 year deal

Im not saying Monarch will, but, it wouldn't be the first, or last time an airline breaches a contract.

Remember bmi baby at Teeside? Even a fine didn't stop them. Norwegian publicly announced they secured a 5 year deal at LPL, it certainly did not last that long.....

 

[Tarn Spotter]

Snowman1: Monarch are going to drop the tour companies. At their Farnborough press conference they said they wanted to be out of this business by 2015 and were already making huge strides. With the low cost of aircraft seats there is not enough margins for this profit to be shared around.
Their aircraft maintenance business is going from stength to strength and this is were the money is going as it is earning profits
I think your right the future is not bright removing the tour passengers, but why should they support TC another troubled company who is reducing its fleet due to falling charter holiday numbers. I am sure Monarchs credit insurance will have advised them to reduce their exposure to TC.
My son used to be in management at TC but left 7 years ago as it was a downhill spiral before the 2008 financial crisis. harriet Green has done a great job of trying to arrest the decline but i thought her reply at the recent results meeting, when asked what her plan B was, replied " the local pub is recruiting bar staff". With losses only reduced by £30m last year to £187m as we can all see how currant trading difficult she has a massive challenge on her hands.
None of this has a negitive impact on staying at LBA. When they opened LBA as a base, they had made the decision to become a LCC and LBA has been the template for the future, if it cant work here in a stand alone LCC situation, the writing is on the wall.

 

[gavin1980]

Doesn't look good:

http://www.ttgdigital.com/news/monarch- ... 71.article

http://www.travelmole.com/news_feature. ... id=2012736

 

[Tarn Spotter]

Sunday Telegraph only highlighting what I said on this site on this 2/3 August. This press information is only the actual detail they announced at farnborough 17th July, so not new information.
You know things are bad when you get glowing press releases like the one the boss did about LBA a few weeks back saying everything wonderful, when the financial press saying all doom and gloom.
Interesting this week end T C slipped out that this summer sales are down 7%, we know from Jet2 sale things not good, but LBA figures dont look bad and in fact could get worse. Ryanair are laughing all the way to the bank, as like easyjet before them they have had a huge uplift in bookings (including me) now they have gone on to seat allocation.
easyjet and Ryanair enjoying big growth on the back of seat allocation must be hurting both Monarch and Jet2, can be no fun running Monarch today, is it time to say goodbye?

 

[Aviador]

Harsh words there Tarn Spotter. I recall reading the airline is looking for around £70m, that's really not that much on the grand scale of things. A brand new A320 costs around £56m! Removing the more costly long haul aircraft should prove more cost effective than removing LBA or EMA (or both) from the airlines portfolio.

 

[airforced]

The fact that we are yet to see a 2015 schedule is concerning though isn't it? I don't recall them being as late as this last year or am I just imagining it?

 

[lbaspotter]

Well Cosmos Holidays now have the 2 mentioned new routes (Rhodes and Zante) bookable for next summer using Monarch flight codes.

Wednesdays
MON5246 = LBA 15:10 - RHO 21:20 / MON5247 = RHO 22:20 - LBA 00:30
Thursdays
MON5468 = LBA 15:10 - ZTH 20:55 / MON5469 = ZTH 21:55 - LBA 23:25

 

[752]

By the looks of things, they also have;

MON - MAH, ACE, BJV, BCN
TUE - TFS
THU - FAO, AYT
FRI - BJV, BCN
SAT - DAL, HER
SUN - PMI, LCA, AYT

Obviously this isn't the full timetable as there is a lot of gaps & I doubt PMI would be decreased from x5 to x1 a week!
I suppose the good thing is that flights are actually bookable and have MON flight codes.

I cant seem to find ZTH & RHO bookable, however as LBA spotter pointed out, they now have flight times and codes which is a positive!

Next year we will have to show our support for MON and book holidays with them :dirol:

 

[Bigman]

So if that's right that is 14 departures a week, which presumably covers the 2 based aircraft. So if we did get the 'missing' Palma flights, this could indicate a third aircraft??
.

 

[a300boy]

So this must mean they intend to carry tour operator passengers despite making a public statement they would not be doing so. Is this correct or am I missing the point somehow ?

 

[Sherburnflyer92]

Indeed you are correct a300boy. Which comes back to my point that Monarch should take on strategy and stick with it. They are a morf of 3 strategies and this 'new one' is only going to add a fourth. Monarch need a completely new management, strategy. Personally Jet2 could do with them. :whiteflag:

 

[Aviador]

I don't see what's wrong with Monarch offering a duel package. Having two different advertising brands, one to sell bums on seat and one to sell sleeps in hotels, it captures the entire market and it seems to work well for other airlines like Jet2. Personally for me it's the departure airport that is the most important aspect of my holiday. It is a worry that Monarch are considering base closures. I do hope LBA survives the cull if they do decide to retract from bases. However much I have slated LBA over the last couple of years or so over having less than acceptable facilities, I would still rather use my local airport over travelling to an airport further afield. I am sure there must be a large number of people like me who can't stand long journeys to other airports only to have to spend a couple of hours or longer on a flight and subsequent travelling at the other end having arrived at the destination airport. What would be just a few hours of travelling from your local airport soon becomes a full day when you have to travel to other airports to catch a flight.

 

[Tarn Spotter]

Aviador: If the holiday side was sold under Monarch name think that would be better. Not sure how many people know Cosmos and Avro holidays owned by the Monarch group.
With jet2 holidays it is very clear who is providing the aircraft seats.
For information it is only £60m that they are looking for outside investment, this should be balanced against the owning family who have only put £120 in the business over the last 5 years. The purchase of any new aircraft will only take place if this outside investment is found.
What Monarch has that Jet2 does not have is a very successful aircraft maintenance business, which is not dependent on the Monarch airline for business and is the profitable part of the group, being dragged down by a business that is lacking direction.
Whilst the maintenance business is wanted by lots of investors, no one to date wants to put a penny in the airline.

 

[White Heather]

Putting things in perspective regarding the delay in putting flights on sale, I have just been on the Easyjet website to look for flights from Bristol to Tenerife next June (for a friend who is going on holiday there) and the flights are only on sale up to 31 March. I don't suppose Easyjet will have any problem selling their seats nonetheless. So Monarch may be behind Jet2, but they are not the only airline not to have released their 2015 programme.

 

[Aviador]

Tarn Spotter

I can sympathise with your comments regarding having a similar name for the airlines holiday arm but on the other hand Cosmos and Avro are well respected brands as is Monarch Airlines itself. So it's difficult to see whether or not the company would benefit from using the same brand throughout. My personal thoughts on the matter would be yes, but then again Tui struggled initially with it's confusing multiple brand changes when Britannia Airways became Thomson Fly and now Thomson Airways. This particular brand change seems to have settled down nicely now for Thomson's. What brand name would you go for with Monarch? Cosmos Airways/Cosmos Holidays? Maybe Monarch Holidays/Monarch Airlines. I would probably stick with Monarch but name the brochure Monarch Holidays by Cosmos initially until the brand became established as a inclusive tour company.

White Heather

I totally agree. I would say it's still very early and to be honest the majority of people start booking holidays around the Christmas period. Looking back through the years the holiday companies used to always release their programmes one season in advance. That would mean summer sun 2015 would be released at the end of this summer season. Likewise, the next set of winter brochures wouldn't be released until the start of the Summer 15 season. It's only over recent years companies have started to release their programmes much earlier. I'm not convinced the take-up of holidays is high so early.

 

[a300boy]

They can call themselves Micky Mouse Holidays for all I care as long as they give us a third unit based at Lbia. It just seems odd to make a definitive statement at a show and then continue with the same business model afterwards. Anyway it is looking better for us now than it seemed a week ago.