Tag Archives: BMI

Virgin reveals brand for new domestic services

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Virgin reveals brand for new domestic services

By Phil Davies

Virgin reveals brand for new domestic servicesVirgin Atlantic’s new UK domestic services will operate under the name Little Red.

Flights start on March 31 from Manchester with three flights a day to Heathrow followed by six a day from Edinburgh on April 5 and three a day from Aberdeen on April 9.

Services will operate to Heathrow Terminal 1 with bus transfers to connect with Virgin Atlantic long-haul routes to long-haul destinations from Terminal 3.

Fares start at £99 as Virgin seeks to compete head-to-head with rival British Airways on UK routes for the first time.

Virgin won key take-off and landing slots at Heathrow after Bmi was taken over by BA parent International Airlines Group and willI  use leased Aer Lingus aircraft.

BA runs around 52 daily flights between Heathrow and Aberdeen, Edinburgh and Glasgow together with services to Scotland from Gatwick and London City airports.

Virgin founder Sir Richard Branson said that Little Red will “go head-to-head with BA to provide domestic flights that deliver Virgin Atlantic’s rock and roll spirit as well as real value for money.”

– See more at: http://www.travelweekly.co.uk/Articles/2013/03/01/43318/virgin+reveals+brand+for+new+domestic+services.html#sthash.AHIsi4NB.dpuf

BA parent agrees €355 million bid for BMI

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BA parent agrees €355 million bid for BMI

Nov 04, 2011 08:30AM GMT

BA parent agrees €355 million bid for BMI

British Airways/Iberia parent company International Airlines Group has agreed to buy loss-making Heathrow rival BMI from Lufthansa.

The deal, which will be seen as a major coup for IAG chief executive Willie Walsh, is expected to be completed early next year. Today’s announcement will come as a major blow to Virgin Atlantic which faces being further marginalised at the London hub.

BMI controls 9% of valuable take-off and landing slots at Heathrow, which is now operating at full capacity after plans to build a third runway were scrapped.

But the deal with IAG is likely to attract a competition probe over potential dominance of slots at Heathrow. BMI has 300 flights a week operating from Heathrow and recently sold six sets of slots to BA.

“It gives BA the opportunity to grow in the UK,” said Walsh, who admitted that the deal, reported to be worth €355 million, had yet to be finalised.

Walsh said the deal will mean IAG will have around half of the slots at Heathrow but this is still less than Lufthansa at Frankfurt and Air France/KLM has at Paris. The takeover of BMI will enable BA to expand its long-haul network.

Virgin Atlantic said: “British Airways’ hold over Heathrow is already too dominant and we are very concerned – as the competition authorities should also be – that BA’s purchase of BMI would be disastrous for consumer choice and competition.”

Speaking on BBC Radio 4’s Today programme this morning Walsh ruled out a bid for ailing Italian carrier Alitalia.

IAG said: “The sale and closing of the deal remain subject to conditions including a binding purchase agreement, further due diligence and regulatory clearances. It is envisaged that the purchase agreement will be signed in the coming weeks and the aim is for the transaction to be completed in the first quarter of 2012.”

BMI reported a loss of €154 million in the first nine months of 2011.

British Airways swoops for BMI Heathrow slots

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British Airways swoops for BMI Heathrow slots

Sep 23, 2011 08:00AM GMT

British Airways has swooped to buy take off and landing slots at Heathrow from loss-making rival BMI British Midland.

Six daily slot pairs at the capacity-squeezed London hub have been acquired by BA for an undisclosed sum.

The deal comes amid speculation over the future of BMI after owner Lufthansa hired Morgan Stanley as adviser for a potential sale.

The main attraction of BMI is that it holds about 11% of the available slots at Heathrow.

Slots at the airport are the most sought-after in the industry but rarely become available and are expensive.

BA parent company International Airlines Group said today: “IAG has approved the acquisition by British Airways of six daily slot pairs at London Heathrow from BMI British Midland International.

“The slots will be used by British Airways from late October 2011 with the airline looking to expand both its long-haul and short-haul network at the airport.”

BMI made a loss of £106 million in the first six months of this year, with BA seen as a potential suitor for the airline.