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OW Eastern Europe possible changes? Malev out? Czech in?

OW Eastern Europe possible changes? Malev out? Czech in?

Old Feb 7, 09, 6:59 am
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OW Eastern Europe possible changes? Malev out? Czech in?

February 6, 2009

Hungarian national airline Malev said on Friday it was late in paying January's wages to employees due to financial difficulties, but it promised to make up all arrears this month...
Link to Reuters story on airwise.com

Edit: Just noticed that malcolmkettering has this covered.

Last edited by Kiwi Flyer; Feb 7, 09 at 12:55 pm
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Old Feb 7, 09, 10:37 am
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Originally Posted by malcolmkettering View Post
So would OW be looking for another partner in the East? Who's left unaffiliated?
Not unaffiliated, but up for sale since this week: OK (Czech Airlines). In fact, this is a classy airline which would fit nicely into OW.

Obviously, the rumour goes that it will be sucked in by SU (like MA), but the Czech government has built in some clauses which allow them to select quite freely any bidder. I wouldn't be surprised if IB was bidding for it.
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Old Feb 7, 09, 12:54 pm
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Originally Posted by malcolmkettering View Post
Also, this article hints that MA might be a goner and if it survives, it will likely to move to Skyteam with 'caretaker' Aeroflot.

http://news.airwise.com/story/view/1233956753.html

It is hard to imagine any scenario where MA pulls out of this; the economic situation is only going to deteriorate further this year and if they can't pay wages now, they are not long for this world. So would OW be looking for another partner in the East? Who's left unaffiliated?
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Old Feb 7, 09, 4:29 pm
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Actually my question is whether IB (or any other OW member) will be bidding for OK.

As I stated in my posting (which was originally in the OW future thread) there is a wide perception that OK is offering the best quality in Eastern Europe and would therefore be a nice addition to OW.

Also the pilot union and the leading newspapers in the Czech Republic are against selling it to SU, so any other bid might be welcome, even from another alliance.
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Old Feb 7, 09, 5:35 pm
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Originally Posted by swiss_global View Post
Not unaffiliated, but up for sale since this week: OK (Czech Airlines). In fact, this is a classy airline which would fit nicely into OW.

Obviously, the rumour goes that it will be sucked in by SU (like MA), but the Czech government has built in some clauses which allow them to select quite freely any bidder. I wouldn't be surprised if IB was bidding for it.
Maybe we could get together and raise enough to buy it ourselves. We could try to co-opt the FT designation from Siem Reap Airways, then run it. Who better to run an airline than FT members???
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Old Feb 7, 09, 8:23 pm
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Originally Posted by swiss_global View Post
Actually my question is whether IB (or any other OW member) will be bidding for OK.

As I stated in my posting (which was originally in the OW future thread) there is a wide perception that OK is offering the best quality in Eastern Europe and would therefore be a nice addition to OW.

Also the pilot union and the leading newspapers in the Czech Republic are against selling it to SU, so any other bid might be welcome, even from another alliance.
I don't think IB is interested in buying another airline. They are looking to be bought themselves.
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Old Feb 7, 09, 10:23 pm
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How about integrating Air Berlin into OneWorld? Or as an alternative, joining up with Railteam and codesharing fast train connections with DB and others?
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Old Feb 8, 09, 4:41 am
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Originally Posted by mosburger View Post
How about integrating Air Berlin into OneWorld? Or as an alternative, joining up with Railteam and codesharing fast train connections with DB and others?
So this would be full circle. BA used to have a big stake in Deutsche BA, and now dba is owned Air Berlin. If this becomes OW then....
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Old Feb 8, 09, 5:22 am
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Originally Posted by DownUnderFlyer View Post
I don't think IB is interested in buying another airline. They are looking to be bought themselves.
Well, at least they have a lot of cash and no major fleet renewal is due. Such a situation usually triggers some ideas ... especially if the BA merger should fail.
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Old Feb 8, 09, 11:08 am
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I'll be one happy camper if OK decides to ditch ST and come into OW! PRG is a really nice and modernized airport; much better Eastern European hub than MA's BUD.

Not only that, PRG is geographically around the middle of Europe which makes it a favorable airport that can be used as a hub-and-spoke model for Europe.
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Old Feb 14, 09, 5:54 am
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Originally Posted by DownUnderFlyer View Post
So this would be full circle. BA used to have a big stake in Deutsche BA, and now dba is owned Air Berlin. If this becomes OW then....
Yes, AB would be a nice addition, at least as far as their shorthaul is concerned. I doubt that their (charter style) long-haul would meet OW's expectations.
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Old Feb 14, 09, 6:01 am
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Originally Posted by DownUnderFlyer View Post
I don't think IB is interested in buying another airline. They are looking to be bought themselves.
To be fair, it will be a merger of sorts rather than an outright takeover. Should the BA-IB marriage actually take off, expect to see quite a few key positions to be headed up by the Spanish. IB may not be the most attractive airline to fly, but it is fairly decently run.
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Old Feb 14, 09, 7:43 am
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Is this for real?

What have you lot been smoking?

MA got into oneworld because they couldn't make the criteria that would allow them become a full ST member. They got offered a ST associate membership under CSA, and turned it down when they realised that OW badly needed a C. European member after their negotiations with LX had failed. Presumably, given the circumstances, OW offered more flexibility in terms of joining criteria.

Due to a number of reasons (not least being based in the only European country that boasts 3 carriers in the big alliances), IB have been focusing away from short-haul, and they have turned most of their European services into LCC (through both the removal of complimentary service and wholesale shifting of non-MAD routes to XG). Purchasing what must be Europe's most elaborate full-service airline, based in a relatively weak O&D market and dependent on a very generous FFP for connecting premium traffic would amount to a gigantic waste of resources for them. Plus the integration of OK into Skyteam is very deep, its connecting services sustaining a number of longhauls to PRG from places like ICN and ATL that will never have enough O&D demand.

Given that AFKL have just embarked on an Alitalia adventure and that LH have bought virtually all the airlines in the region and don't need another one, CSA is either going to stay independent for a little while more (it's doing, erm, OK financially) or get bought by a non-airline consortium (private equity was being discussed last time privatisation was in the news) or SU. Deal with it!

Apologies for having injected some facts into the discussion- baseless speculation can now continue.
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Old Feb 15, 09, 2:54 am
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Originally Posted by graraps View Post
that OW badly needed a C. European member

...

Apologies for having injected some facts into the discussion- baseless speculation can now continue.
Based on your - what you call - "facts", what will then be the reaction of OW to situation of MA? The facts are that

- MA is really cash strapped and unable to pay salaries on time
- MA has effectively been taken over by a Russian bank, which is controlled by the Russian government, subject to some conditions, including management by SU.
- OK and - maybe - AB are the only airlines which are currently for sale in this region.

Does OW no longer need a member in this part of the world?
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Old Feb 15, 09, 5:33 am
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Originally Posted by graraps View Post
Is this for real?

What have you lot been smoking?

MA got into oneworld because they couldn't make the criteria that would allow them become a full ST member. They got offered a ST associate membership under CSA, and turned it down when they realised that OW badly needed a C. European member after their negotiations with LX had failed. Presumably, given the circumstances, OW offered more flexibility in terms of joining criteria.

Due to a number of reasons (not least being based in the only European country that boasts 3 carriers in the big alliances), IB have been focusing away from short-haul, and they have turned most of their European services into LCC (through both the removal of complimentary service and wholesale shifting of non-MAD routes to XG). Purchasing what must be Europe's most elaborate full-service airline, based in a relatively weak O&D market and dependent on a very generous FFP for connecting premium traffic would amount to a gigantic waste of resources for them. Plus the integration of OK into Skyteam is very deep, its connecting services sustaining a number of longhauls to PRG from places like ICN and ATL that will never have enough O&D demand.

Given that AFKL have just embarked on an Alitalia adventure and that LH have bought virtually all the airlines in the region and don't need another one, CSA is either going to stay independent for a little while more (it's doing, erm, OK financially) or get bought by a non-airline consortium (private equity was being discussed last time privatisation was in the news) or SU. Deal with it!

Apologies for having injected some facts into the discussion- baseless speculation can now continue.
Thanks for injecting some "facts" into this discussion, however you might want to re-check some of what you have posted.

Firstly, Spain is not the only European country with all three alliances operating services within it. The UK also has airlines for the big three operating services within it:

OneWorld - British Airways
Star Alliance - bmi
SkyTeam - Air France's City Jet operating out of LCY

Also to be fair to posters in this thread, I don't think anyone seriously thinks OK will actually make a switch across to OW. Yes, it would be nice, but I would agree that for many reasons (including some that you have posted), it would be highly unlikely.
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