WW "airlines to go bust"

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Old Feb 16, 19, 3:23 pm
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Loganair issue statement saying no impact to them caused by their sister company's demise.

Loganair Statement

In relation to bmi Regional – 16th February 2019

Bmi Regional, the sister airline of Loganair in the Airline Investments Ltd group, has ceased operations today 16th February 2019 and will be filing for administration.
The two airlines are separate businesses, operating separate aircraft fleets on their own distinct route networks. As such, the closure of bmi Regional – which flew Embraer Regional Jet aircraft on routes throughout 12 European countries – has no impact on Loganair’s continued operation, which predominantly uses turboprop aircraft on routes within the UK and in particular to, from and within the Scottish Highlands & Islands.
The same challenges that have led to bmi Regional ceasing operations, including uncertainty around intra-European traffic rights post-Brexit, do not impact Loganair’s business.“Loganair expects to return to profit in the current financial year, is carrying record passenger numbers on many of its routes and is in a strong financial position,” said Managing Director Jonathan Hinkles.
We are actively working on options to offer employment to a number of bmi Regional staff members whilst at the same time monitoring developments elsewhere in the UK regional airline sector which could present opportunities for Loganair.”
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Old Feb 16, 19, 3:24 pm
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Originally Posted by Concerto View Post
I think they are all at risk: Flybe, Air Dolomiti, maybe even SUN-AIR
Air Dolomiti at risk? Where did you get that from? Lufthansa is about to add a few more aircraft (Embraers from CityLine) to their fleet plus they should soon be adding extra MUC/FRA feeder flights from more airports in Italy on top of those they already serve, this is all recent news and it doesn’t sound like they’re struggling?

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Old Feb 16, 19, 3:34 pm
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Originally Posted by Mordac View Post
They've just been re-awarded the PSO contract to fly STN-LDY. *facepalm*
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Old Feb 16, 19, 3:36 pm
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Absolutely nowhere, picked it out of thin air. I meant to add Loganair to the list, but it will be a real shame to see them go under. I basically think anything small and unattached to one of the giants is at risk (and of course, Air Dolomiti is owned by Lufthansa, so it's probably ok). But nobody saw the collapse of bmi Regional coming, did they? It just collapsed and it was a sad surprise to everyone here, just like the collapse of germania. And the next one will do the same, with no warning whatsoever. Meanwhile, Alitalia rides the storm out!
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Old Feb 16, 19, 4:38 pm
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Originally Posted by Concerto View Post
Absolutely nowhere, picked it out of thin air. I meant to add Loganair to the list, but it will be a real shame to see them go under. I basically think anything small and unattached to one of the giants is at risk (and of course, Air Dolomiti is owned by Lufthansa, so it's probably ok). But nobody saw the collapse of bmi Regional coming, did they? It just collapsed and it was a sad surprise to everyone here, just like the collapse of germania. And the next one will do the same, with no warning whatsoever. Meanwhile, Alitalia rides the storm out!
I suspect anyone who was looking at bmi Regional saw it coming, or at least saw that it may be coming. But it was such a minor player that most of us weren’t even aware of it, let alone looking at it. In any case, no one will be surprised by the demise of another small, regional, unaffiliated carrier. That is simply the way of things in today’s market.
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Old Feb 17, 19, 5:07 am
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Interesting that the web site is informing customers of their rights under EU Regulation 261/2004. How is this going to work when an airline has gone bust? Where is the compensation money coming from? If they are unable to re-accomodate passengers on other airlines, they are not going to be in a position to give out compensation.
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Old Feb 17, 19, 5:18 am
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What happens to the assets - I’m thinking of the ERJs? Are some likely to end up with LoganAir?

I assume BA Cityflyer wouldn’t be interested, as they’re not E170/190s but much smaller ERJ-135/145s
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Old Feb 17, 19, 5:49 am
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Originally Posted by squawk View Post
What happens to the assets - I’m thinking of the ERJs? Are some likely to end up with LoganAir?
Depends on who owns them.
A quick look at the G-INFO website shows all of them as owned by
BRITISH MIDLAND REGIONAL LTD
TRADING AS: BMI REGIONAL
Some have mortgaged notes against the info, although they could be paid off by now.

I guess they'll be assets for disposal. Much value on E-Jets? Probably not, as they're not particularly new.

Loganair took two within the last 4 months.
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Old Feb 17, 19, 9:13 am
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Loganair to takeover 3 ex-bmi routes from Aberdeen

BBC Article
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Old Feb 17, 19, 9:39 am
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BA offering reduced fares to stranded passengers. Call to book and have flybmi reference ready.

Ryanair offering jobs to staff especially pilots and engineers.
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Old Feb 17, 19, 9:55 am
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A family member has just qualified and had his first few flights with them, it's been his dream job for a long time now!
Says lots of other airlines have been in touch to offer support and/or jobs.
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Old Feb 17, 19, 10:26 am
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I really hope Loganair is not going to be the next victim. I think all those little regional airlines are very much at risk.
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Old Feb 17, 19, 10:45 am
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Originally Posted by Concerto View Post
Absolutely nowhere, picked it out of thin air. I meant to add Loganair to the list, but it will be a real shame to see them go under.
Originally Posted by Concerto View Post
I really hope Loganair is not going to be the next victim. I think all those little regional airlines are very much at risk.
Indeed I imagine any regional airline without parental backing is likely to be under pressure at the moment. However I would be wary of speculating, as the conjecture probably doesn't help those involved.
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Old Feb 17, 19, 11:01 am
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Originally Posted by kanderson1965 View Post
Interesting that the web site is informing customers of their rights under EU Regulation 261/2004. How is this going to work when an airline has gone bust? Where is the compensation money coming from? If they are unable to re-accomodate passengers on other airlines, they are not going to be in a position to give out compensation.
You can submit a claim to the bankruptcy estate and then maybe obtain <1% in a few years when they've decided who's getting what of the airline's assets.

What happens to their public service obligations? I think they were paid a lot to operate London-Londonderry and Karlstad-Jönköping-Frankfurt. Apparently Nordica provides an emergency solution for the latter today and tomorrow.
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Old Feb 17, 19, 11:10 am
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Originally Posted by Some person View Post
You can submit a claim to the bankruptcy estate and then maybe obtain <1% in a few years when they've decided who's getting what of the airline's assets.
For those using UK credit cards, I wonder whether the credit card company has to pay because of its CCA obligations?
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