LH relationship with BD

Old Aug 8, 2002, 2:28 am
  #1  
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LH relationship with BD

I just saw some posts on another website speculating that BD (excluding WW) would be bought up by LH as of the 2003 summer timetable:

http://www.airliners.net/discussions...d.main/896935/

I don't give this very much credibility (I have heard it a few time before now!), and can't see what it would give LH that the current relationship does not, apart perhaps from control of lots of slots at LHR.

It would also hardly fit in with BD's ambitions to run transatlantic routes out of LHR. I also thought that BD was in pretty decent financial shape, all things considered.

Still, I'm not averse to passing on a rumour! I would be interested to hear if anyone thinks this might ever actually happen.



[This message has been edited by House (edited 08-08-2002).]
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Old Aug 8, 2002, 11:07 am
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Being bought by LH wouldn't fit with BD's ambitions either, but if the offer was right...

The speculation - which is nothing new - has been boosted by a few recent changes. For a start, the LHR-based operation is now moving more towards an all-Airbus operation while the 737s are being moved across to Baby. THe other aircraft types are being consolidated onto the regional (non-LHR) operation. This makes the different business units more suitable for break-up and subsequent sale.

BD recently moved over to the same computer system as LH.

You ask what LH could want except LHR slots. Well, LHR slots are everything; worth far more than the EMA setup, no matter what BD's historical attachment to its base may have been.

As for the transatlantics, although they offer excellent service they are making a hideous loss and unless the US government starts making progress on a new bi-lateral treaty within the next few months, patience at Donnington Hall will wear thin. Bishop's dream is to move all the A330s (including the one gathering dust on the apron at MAN) to LHR to operate to IAD, JFK and ORD. If that dream does come true, incidentally, we can expect the New Economy to be scrapped and the Business cabin expanded.

I hope BD can remain independent of LH, but LH already has a large stake in BD and won't wait around for ever.
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Old Aug 8, 2002, 4:06 pm
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Bish been on the blower again AJ?

Tea and biccies (best china, of course) at Donnington Hall next time you are in the area??

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Old Aug 9, 2002, 9:14 am
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<font face="Verdana, Arial, Helvetica, sans-serif" size="2">Bish been on the blower again AJ?
Tea and biccies (best china, of course) at Donnington Hall?
</font>
Like best pals, we are. Probably.

Actually I'm told he has been known to conduct press interviews in the canteen at Donnington Hall. Chips, anyone?
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Old Aug 9, 2002, 6:31 pm
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I'm curious how SAS would fit into this. Don't they own 20% of BMI along with Lufthansa's 20% ?
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Old Aug 10, 2002, 3:00 am
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<font face="Verdana, Arial, Helvetica, sans-serif" size="2">Originally posted by iflyual:
I'm curious how SAS would fit into this. Don't they own 20% of BMI along with Lufthansa's 20% ?</font>
They do (and until relatively recently they owned 40% - they sold LH the 20% it currently holds). I doubt this would change - LH would just need 51% to have control of the airline.
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Old Aug 10, 2002, 4:56 pm
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Do you think SAS would still be interested in being a minority shareholder with Lufthansa running the show? What are the chances that they would sell out to LH and concentrate on Spaniar now that they own 85%?

Off topic, but with SAS' ownership of Spaniar and with their now being part of Star Alliance will Spanair be returning to the US? Maybe Washington again or New York/ Newark?
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