Blue Islands

[White Heather]

It seems clear that BI have folded because the Jersey government have withdrawn support. Perhaps this wasn't expected when they signed up for LBA and the NQY to LGW temporarily. Clearly the Jersey government have had enough. BI have paid back very little of the loans granted to survive Covid and last year wasn't a good year for them. Its a shame as the LBA route gould have been very successful.

 

[752]

Sounds like Covid crippled a lot of airlines and they haven’t been able to bounce back. If they shut during Covid then reopened maybe their books would be different? However that would have caused a lot of complications !

 

[LBA4EVER]

Last throw of the dice I`m afraid.

Perhaps it was a case of announcing new routes and hoping the early bookings would keep them afloat! Not the best position to be in.

 

[Finger66]

It really is a very tough world for small airlines, perhaps if Eastern, Blue Islands, Aurigny and perhaps Skybus had all merged the reduction in overheads would have made a viable 2nd force domestic airline viable

Curious to know who is actually 1st force?

 

[White Heather]

Since Skybus CEO and LBA fan Jonathan Hinkles was involved in setting up the BI route from SOU/JER to LBA, and even went on LinkedIn saying how good that was, perhaps now its hit the buffers he might like to operate it himself along with Newquay using his newly acquired ATR72(s) - when delivered early next year.

C'mon Jonathan. For old times sake. You know you want to.

 

[BCFC]

What I find baffling about this is why would BI have recently announced a raft of new routes, when surely they would have been aware of their precarious financial position?

Exactly what I thought…
Why? On the verge of going down the pan and lets announce a new route to LBA….why?

 

[Finger66]

You know what @White Heather I actually do think he does. The problem is though that he is very astute and knows how/what makes most money. I am not saying never say never, but suspect priorities will have to remain elsewhere. He knows how to separate sentiment from logic (or heart ruling head if you like). Wonder if SeanM and @Starflyer have any thoughts on this as they both certainly seem to be in the know on lots of things just recently

One thing I would like to add here is how sad the demise of yet another regional airline is. And in priority order:
More staff have lost their jobs in an industry we all love. CAVEAT: Hopefully opportunities with LM are incoming for many of those staff
The choice of UK regional airlines continues to diminish - usually means higher fares due lack of competition
What does this actually say about the future of UK regional connectivity. Very much on the decline anyway since COVID hit
And finally, which is the selfish point for most of us is that just as SOU was making a return from LBA it is snatched away. Hopefully someone does see the potential and has the resources and availability to step in

 

[gulftraveller]

Exactly what I thought…
Why? On the verge of going down the pan and lets announce a new route to LBA….why?

This is a very interesting question, as it seems to be a pattern. I remember that before MON went bust they announced a raft of new services on 737-MAX aircraft such as BHX-JFK. I have always assumed that it was done to maintain share price and make the company look stable and more attractive for investment. But I would be interested in others’ views.

 

[White Heather]

This is a very interesting question, as it seems to be a pattern. I remember that before MON went bust they announced a raft of new services on 737-MAX aircraft such as BHX-JFK. I have always assumed that it was done to maintain share price and make the company look stable and more attractive for investment. But I would be interested in others’ views.

It takes three parties to announce a new route. LBA snd SOU management will have held discussions with BI, and agreed contracts for that new route and no doubt Swissport will have done similar re handling. That's a lot of wasted work by all parties if BI management genuinely knew they were about to have the rug pulled from under them by the Jersey government. Clearly Jonathan Hinkles wasn't expecting it either, having got himself involved, and considering he's just done a deal with BI himself.

This all suggests that BI management were under the impression that the Jersey government would continue to back them, at least for now.

 

[Len Fish]

The head of the Jersey Government stated as recently as 9th. October that the public finances were in a “precarious”position, whilst the airline still owed £7 million of a £8.5 million Government loan made to them during Covid. These two factors may go some way to explain why , in the words of a Blue Islands spokesperson the Jersey Government stated they “were unable to provide further support”.