Flybe quits Gatwick as part of turnaround plan: Reuters

[Reuters] Struggling British airline Flybe will quit its main London hub at Gatwick airport and has pushed back the delivery of 16 new aircraft to help it return to profitability.

In April the carrier forecast an underlying loss for the year to the end of March. Photo: Wikipedia

Europe’s largest regional airline also said it had axed 590 jobs, or 22 percent of its UK workforce, despite saying in January it would cut only 300 jobs when it unveiled a cost-cutting plan designed to end a two-year run of losses at the pre-tax level.

Flybe floated its shares on the London Stock Exchange at the end of 2010 and has since suffered from high fuel costs, falling passenger numbers and higher airport charges, especially in London.

The company, which counts British Airways parent IAG and billionaire investor George Soros among its largest shareholders, said on Thursday the measures would save it GBP£30 million (USD$45 million) in costs in 2013/14, GBP£5 million ahead of its previous target, with more than half coming from the job cuts.

Flybe will exit Gatwick in March 2014, after agreeing a deal to sell its 25 take-off and landing slots at London’s second-largest airport to easyJet for GBP£20 million. “No business can swallow cost increases of more than 100 percent over five years and Flybe simply cannot bear such punitive rises,” Flybe chief executive and chairman Jim French said.

Flybe said it had also pushed back the delivery of 16 Embraer E175 aircraft to between 2017 and 2019, which would reduce pre-delivery payment charges due this year by 20 million pounds.

The aircraft were previously due to arrive in 2014 and 2015.

Since Flybe’s 295 pence-per-share float, its shares have fallen 80 percent, cutting the company’s market value to 43 million pounds from 215 million at launch.

“Flybe is exposed to the regional UK market which is not seeing the same growth as London is,” said analyst Alexia Dogani at brokerage Liberium. “London airports have become more expensive for small regional airlines to operate (from) … and therefore Flybe has not been able to attract as many passengers for its routes.”

It is not the only smaller airline to have suffered. Last year, loss-making Spanair and Hungarian flag-carrier Malev ceased operations, leaving gaps in the market that larger low-cost carriers like easyJet have been quick to exploit.

European carriers including Germany’s Lufthansa AG, Franco-Dutch Air France-KLM and Spain’s Iberia have also cut thousands of jobs over the last year and reined in capacity growth.

Flybe flies to Belfast, Glasgow, Edinburgh and the Isle of Man from Gatwick. Selling its Gatwick slots would substantially reduce its London operations to just the few flights it runs out of Luton airport, some 50 kilometres north of the capital.

Read the full story at Reuters….

 

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Reuters
23rd May, 2013

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Gatwick Express ‘veers towards Third World conditions’: BBT

[BBT} The new chairman of Gatwick airport, Sir Roy McNulty, has criticised the Gatwick Express train service, saying that it “at times veers towards Third World conditions”.

Sir Roy McNulty, has criticised the Gatwick Express train service, saying that it “at times veers towards Third World conditions”. Photo: Wikipedia

McNulty, speaking to London Evening Standard, aired his concerns that the Gatwick Express service gives incoming passengers a bad first impression due to overcrowding and old rolling stock.

“In the short to medium term, our main priority is improvement in the road and rail infrastructure that serves the airport – and above all improvement in the Gatwick Express,” said McNulty.

A spokesperson for Southern, which operates the Gatwick Express, said: “In addition to providing a direct airport link, Gatwick Express services now provide around 20,000 extra peak seats between Brighton and London every week to help meet the capacity challenge on that route.

“Balancing the needs of the airport and the needs of Brighton line commuters is always going to be challenging particularly when operating over some of the most congested tracks in the country.”

Gatwick last week submitted its response to the Airports Commission, headed by Sir Howard Davies, which is looking at how to expand airport capacity in the south-east.

The airport argues in its submission that there needs to be better rail services to London’s airports, in order to attract more airlines.

“Although it already has excellent rail links, the airport – as well as some of its airlines – believe more dedicated, high quality and value for money services into London are fundamental to encouraging greater use of its capacity,” said Gatwick in a statement.

 

Read the full story at “Buying Business Travel” [BBT]…….

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Scott Carey
20th May, 2013

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Gatwick Airport: Controlled explosions carried out

[BCC News] Controlled explosions have been carried out on a van in Gatwick Airport‘s North Terminal car park.

Suspicions were raised about the Renault van as it entered one of Gatwick Airport’s car parks. Picture: Wikipedia.com

Sussex Police said a bomb disposal unit was called after suspicions were raised about a Renault van as it entered the car park at 14:40 BST.

Officers were unable to locate the driver or see inside the van. Police said the bomb disposal unit carried out the controlled explosions and there was no suggestion of “any other threats to the airport”.

Eyewitnesses reported an increase in armed police at the airport and the presence of a bomb disposal robot.

Insp Gary Medland, from Gatwick Police, said: “We are aware that this is likely to cause significant disruption to people arriving or departing North Terminal by car, especially at this time of day.

“However, it is important that we establish whether this vehicle poses any threat and the cordon has been put in place for the safety of everyone visiting and working at the airport.

“There is no suggestion that there are any other threats to the airport and both police and security staff are actively checking all areas.”

They are now looking for two men who entered the car park in the untaxed, uninsured and unregistered van. The men were seen to push up a barrier to gain access to the car park before leaving the van on the ground floor.

Gatwick Airport said the incident has not affected any incoming or outgoing flights.

Read the original story at BBC News…..

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BBC News
1st May, 2013

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Cheaper BA flights – but for passengers with hand luggage only: IOL Travel

[IOL Travel] British Airways is to take on budget airline rivals by charging less if passengers travel with just hand luggage.

British Airways is to take on budget airline rivals by charging less if passengers travel with just hand luggage. Photo: Wikipedia

The airline said the cheaper fares – initially to be offered on flights from Gatwick to five destinations – will give passengers “more choice”.

Holidaymakers with luggage to check in will not pay more to compensate for the lower “hand baggage only” fares, BA insisted.

The move will be seen as an attempt to compete with low-cost airlines such as Ryanair and easyJet.

Peter Simpson, BA’s director at Gatwick, said: “The introduction of our hand baggage only fare is all about giving our customers more freedom to choose the kind of flying they want. Many British Airways customers on Gatwick short-haul breaks choose not to check in a bag as they’re already taking advantage of our generous two-bag hand luggage policy.

“Those who still want to check in a bag will simply pay the same price they do now.” …..

Read the full story at IOL Travel…..

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Daily Mail
21st Feb, 2013

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Gatwick Boss calls to expand Sussex and Essex airports: BBC News

[BBC News] A proposal to expand Gatwick and Stansted airports so they can compete with Heathrow has been put forward by Gatwick Airport‘s chief executive.

Gatwick wants three airports to compete but campaigners want demand spread across the UK. Photo: Gatwick Airport Ltd

Stewart Wingate said both the airports in West Sussex and Essex should expand.

The plan would see three airports of a similar size competing with each other and spreading the economic benefit and environmental impact, he said.

But anti-expansion campaigners said the South East had enough air capacity and demand should be spread across the UK.

Several plans have been put forward to increase air capacity in London and the South East including expansion of Gatwick, Heathrow, and regional airports.

There are also three plans to build airports in the Thames Estuary off Kent, and a proposal to build a four-runway airport on Goodwin Sands near Deal.

Mr Wingate said: “What we’re promoting is a model which sees the airports of the South East competing with one another.

“What that means for us is a second runway going into Gatwick and subsequently a second runway going into Stansted.”

But John Byng, vice chairman of the Gatwick Area Conservation Campaign, said the prospect of a second Gatwick runway was “worrying” and added: “It will create much more noise and disturbance for local people.”

He said: “There are lots of services that would be further overstretched by the expansion of Gatwick and what’s more it’s not needed.

“There is plenty of capacity in the South East for the flights that are needed. There isn’t an airport in the country that’s full except Heathrow.

Read the full story on BBC News…..

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BBC News
1st Feb, 2013

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Gatwick Airport to submit plan for second runway: BBC News

[BBC News] Gatwick Airport bosses are to begin work on detailed plans for a second runway which would double annual capacity to 70 million passengers.

Gatwick Airport to submit runway options. Photo: Wikipedia

The West Sussex airport’s owners say they will scrutinise the options to develop the site up to 2020 and beyond.

The plans will now be put to an independent aviation commission led by former Financial Services Authority boss Sir Howard Davies.

Campaigners fear expansion will raise noise levels and harm the environment.

Gatwick said no runway would be built before 2019 under a legal agreement signed in 1979.

Its bosses believe additional “capacity and flexibility” would help ensure London’s airports provide south-east England with the connectivity needed.

Chief executive Stewart Wingate said it could be “affordable and practical” and a better option than new runways at Heathrow or Stansted airports.

“Over the last three years we have transformed the airport, invested around £650m and have a strong track record for delivering key routes to growth markets,” he said.

“However, we must now look to the future when Gatwick will become full and outline its long-term role in ensuring London has an efficient and resilient airport system that creates the crucial connectivity London and the UK needs.”

The plans sent to Sir Howard Davies’s commission, which will report back in 2015, include evaluations of environmental and economic impacts.

Gatwick said its “masterplan” for the airport contained a “scenario” for a new runway. The plans were put to public consultation for 18 weeks, which ended in January, it said.

Gatwick serves 197 destinations and currently handles about 34 million passengers a year……

Read the full story at BBC News….

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BBC News
17th October, 2012

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BAA is changing its name to ‘Heathrow’: This is Money

[This is Money]  BAA ditches name to be ‘Heathrow‘ after sell-off of stakes in Gatwick and  Edinburgh.

The company insisted there would be no changes to its management structure. Photo: Wikipedia

BAA is changing its name to Heathrow. The  Spanish-owned company that runs some of the UK’s airports said it will be known  as after its largest airport because it no longer represents a large number of  UK terminals.

In 2009, competition authorities forced it to  sell its stakes in Gatwick and Edinburgh, and it has also agreed to offload the  London-serving airport Stansted.

After the rebranding, the group’s other  airports – Glasgow, Southampton and Aberdeen – will also become standalone  brands.

The company insisted there would be no  changes to its management structure, and no redundancies as part of the process.

But it warned there would be delays in  removing its BAA-emblazoned signs from terminals, as well as issuing staff with  uniforms free of its previous insignia.

BAA could not put a time frame on completing  re-branding. The company also said it does not have a figure for how much the  move will cost.

Chief executive Colin Matthews said: ‘The BAA  name no longer fits. We do not represent all British airports. We are not  a……

Read the full story at This is Money…..

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This is Money
16th Oct, 2012

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Luton named UK’s ‘most unfriendly airport’: Metro

[Metro] A recent poll from travel search site Skyscanner claims Luton was rated as the most unfriendly airport with only 5.76 points out of ten.

Luton has been named the UK’s most unfriendly airport in a new survey. Photo: Wikipedia

London airports Stansted, Heathrow and Gatwick also featured towards the bottom of the list.

Meanwhile, the one airport which is getting things right is Edinburgh, earning a massive thumbs up from visitors.

ith a score of 7.41 points out of ten for friendliness it was followed closely by Newcastle (7.34) and then Manchester (6.87). Around Europe, Paris was voted the rudest airport with a score of just 4.86 points, while Moscow received 5.03 points and Istanbul was awarded 5.91 points.

The friendliest European airport, according to travellers, was shown to be Copenhagen (7.08 points).

Commenting on the results, Victoria Bailie from Skyscanner said: ‘We like to have a good moan and grumble but overall, the average scores were positives for the UK’s airports.

‘Despite the summer rush, they’ve clearly been doing a good job to help kick start our holiday on a positive note.’

Read the original story at Metro…..

 

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Metro.co.uk
21st Aug, 2012

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Gatwick Airport renews push for second runway: Telegraph

[Telegraph]  Gatwick Airport will resurrect proposals for a second runway this summer as it ramps up efforts to become London’s main gateway to booming economies in Asia.

GIP will publish a “master plan” next month setting out what the airport will look like in eight years’ time.

Details of the airport’s plans have emerged as its chief executive, Stewart Wingate, blamed rival Heathrow for giving foreign airlines a false impression that London was “closed for business”.

Gatwick, which has been owned by Global Infrastructure Partners since 2009, will publish a “master plan” next month setting out what the airport will look like in eight years’ time.

The airport’s bosses will also float two scenarios for how it could develop after 2020 – including the case for a two-runway airport.

In an interview with The Sunday Telegraph, Mr Wingate said a second runway at Gatwick or Stansted would be less problematic – and costly – than either a new airport in the Thames Estuary or expansion at Heathrow.

The costs of building “Boris Island” seemed “prohibitively expensive”, he said, while a third Heathrow runway could cost in the region of £10bn-£15bn.

More people would be affected by the noise created by an enlarged Heathrow than at Gatwick or Stansted, the former BAA director added.

“There’s a noise contour which says that in and around Heathrow there’s about a quarter of a million people that live very close to…….

Read the full story at The Telegraph…..

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By Nathalie Thomas
9:30PM BST 23 Jun 2012

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Multi-Mode: 120,000 possible extra flights a year at Heathrow: Independant

 [Independant] Heathrow‘s capacity problems could be solved without the need for a new runway, as strict rules on take-offs and landings are eased from next month.

The plan could allow 120,000 extra aircraft movements each year at Europe’s busiest airport.

The “silver bullet” solution to the airport’s congestion crisis could unlock up to 25 per cent more slots with no extra building. Introducing so-called “mixed mode” flying – under which runways are used for both take-offs and landings at the same time – could allow 120,000 extra aircraft movements each year at Europe’s busiest airport.This would call into question the need for either a third runway or an entirely new airport in the Thames Estuary. New rules coming into force on 1 July will increase the number of circumstances in which simultaneous runway use is permitted. Heathrow says this will not for now lead to a net increase in slots, but it is under pressure from the airline industry to extend the scheme to allow more take-offs and landings.

The fact that the Department for Transport has agreed to tinker with long-standing rules against “mixed mode” indicates they may be willing to overrule local residents’ objections.

Steve Ridgway, the chief executive of Virgin Atlantic, told The Independent: “Mixed mode … would allow a more efficient use of the existing, overstretched runways at Heathrow.”

When working to full capacity – which it does much of the time – Heathrow can handle up to 44 departures and 43 arrivals every hour. Yet its nearest rival is even more productive: Gatwick is the world’s busiest single-runway airport by a wide margin, with up to 54 movements an hour.

A study carried out by the air-traffic provider NATS concluded mixed mode could boost Heathrow’s capacity by up to 15 per cent – adding 10 million passengers to today’s annual total of 70 million. But a spokesperson for NATS said the operating changes needed to achieve that increase would require……

Read the full story at The Independant…..

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Story by Simon Calder
23rd June, 2012

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