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Walsh: BA/IB Have 12 Potential Acquisition Targets  
User currently offlineOP3000 From United States of America, joined Jun 2009, 1784 posts, RR: 2
Posted (4 years 2 months 3 weeks 1 day 14 hours ago) and read 17170 times:

Interviewed this weekend, Willie Walsh announced that his team has identified 12 potential acquisition targets worldwide.

Although at this point its somewhat trivial, I would be curious as to guess what the potential list of 12 would be.

http://www.foxbusiness.com/markets/2...-targets-identified-iberia-merger/

LONDON -(Dow Jones)- British Airways PLC (BAY.LN) and Spain's Iberia Lineas Aereas de Espana S.A (IBLA.MC), which are in the process of completing a merger, have identified 12 potential acquisition targets for the merged company, the company's Chief Executive-designate, Willie Walsh said this weekend.

International Airline Group, or IAC, as the combined airline will be called after the deal closes, has already identified airlines which would make attractive targets, Walsh told reporters at a media briefing in Mumbai, India.

His remarks indicate that IAG plans to take a lead in continued airline consolidation.

"With Iberia, we have had a number of meetings where we have looked at airlines around the world and identified those that would be attractive to us in joining IAG," Walsh, previously CEO of British Airways, said in reported remarks verified by a U.K.-based spokeswoman.

The two companies' management teams initially had a list of 40 airlines which it has since whittled down to 12, Walsh said.

"This is just to give us a focus. We have not had any discussions with any airlines. There is nothing going on at the moment," he said, adding "we would not pursue all 12 (potential acquisition targets)."


78 replies: All unread, showing first 25:
 
User currently offlineTimboflier215 From United Kingdom, joined May 2005, 1342 posts, RR: 1
Reply 1, posted (4 years 2 months 3 weeks 1 day 14 hours ago) and read 17176 times:

Well, having been last out of the blocks with consolidation, BA-IB seem intent on making up for lost time!! AY and MA seem likely, Willie Walsh has already mentioned IT and SK and LO have also been rumoured. If American ownership laws are relaxed, AA might eve join the fold. As for the others, BA looked at QF before, but decided it was too complicated. Is this still the case? CX is owned by a British company already, but CA has ever-closer ties and I wouldn't be surprised if the PRC Govt would like control of it, so that might be out. Apart from that, I have no other guesses! A South American carrier maybe?

User currently offlineOP3000 From United States of America, joined Jun 2009, 1784 posts, RR: 2
Reply 2, posted (4 years 2 months 3 weeks 1 day 14 hours ago) and read 17079 times:

Quoting Timboflier215 (Reply 1):
A South American carrier maybe?

It was in fact mentioned in the article, although their list was probably developed before the LAN-TAM merger was announced:

A report in the U.K.'s Mail on Sunday newspaper said BA was focusing in particular on acquiring a South American airline and said the "most obvious" partner would be Chile's LAN airlines (LAN.SN), which is merging with Brazil's TAM (TAMM4.BR).


User currently offlineLipeGIG From Brazil, joined May 2005, 11458 posts, RR: 58
Reply 3, posted (4 years 2 months 3 weeks 1 day 14 hours ago) and read 17047 times:
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Quoting OP3000 (Reply 2):

It was in fact mentioned in the article, although their list was probably developed before the LAN-TAM merger was announced:

A report in the U.K.'s Mail on Sunday newspaper said BA was focusing in particular on acquiring a South American airline and said the "most obvious" partner would be Chile's LAN airlines (LAN.SN), which is merging with Brazil's TAM (TAMM4.BR).

Could be the focus also to keep LA on Oneworld ! If BA/IB loses LA/JJ, and considering DL and Skyteam is approaching AV, the South America could become a dangerous territory.



New York + Rio de Janeiro = One of the best combinations !
User currently offlineLHRFlyer From United Kingdom, joined Apr 2010, 820 posts, RR: 1
Reply 4, posted (4 years 2 months 3 weeks 1 day 14 hours ago) and read 17011 times:

BA is playing catch-up on consolidation but if (by accident or design) it focuses on what Willie Walsh calls "transformational" deals with major international players, rather LH's approach of buying smaller (and troubled) carriers in Europe, this may put International Airlines Group in good stead to be a major global player.

Iberia certainly has a very strong cash balance to fund acquisitions. Though, as well as ownership restrictions, owners have been to be willing to sell.


User currently offlineTimboflier215 From United Kingdom, joined May 2005, 1342 posts, RR: 1
Reply 5, posted (4 years 2 months 3 weeks 1 day 13 hours ago) and read 16833 times:

I also forgot to add Aer Lingus and FlyBE, they are potentials.

Is there a danger of BA-IB trying to do too much, too quickly - a rush of blood to the head, and depleting their cash reserves if they do indeed go on a spending spree?

And how do we think LH and AF-KL are going to respond - do they have enough on their plates atm? Or will they look at consolidation within their own alliances, but beyond Europe? Maybe they might try to poach carriers from rival alliances, which at the very least will drive the price up and increase the cost BA-IB end up paying? I would be interested to hear what CHRISBA777ER has to say about all of this!


User currently offlineBA174 From United Kingdom, joined Oct 2009, 765 posts, RR: 0
Reply 6, posted (4 years 2 months 3 weeks 1 day 13 hours ago) and read 16741 times:

I would say QF group are very likley I think QF have since regretted turning the BA deal down last time. But at the same time I think QFs global location may be a problem as BAs HQ will also be IAGs at LHR. BE and EI and even BD I see as potential targets in BA/IBs mind Willie has previously stated that he is watching BD to possibly get BA some slots.

User currently offlineANstar From United Kingdom, joined Nov 2003, 5299 posts, RR: 7
Reply 7, posted (4 years 2 months 3 weeks 1 day 13 hours ago) and read 16717 times:

Quoting Timboflier215 (Reply 1):
BA looked at QF before, but decided it was too complicated.

Actually I believe it was QF who pulled out - didnt make financial sense.

Quoting Timboflier215 (Reply 5):
I also forgot to add Aer Lingus and FlyBE, they are potentials.

FlyBE must be on the list.... though it is typiucal BA. Buy a profitable UK regional, cut its routes as it is no longe rprofiatble with BA's cost structure, sell or dispand said regional. Then buy it again... repeat.


User currently offlinevv701 From United Kingdom, joined Aug 2005, 7685 posts, RR: 17
Reply 8, posted (4 years 2 months 3 weeks 1 day 13 hours ago) and read 16688 times:

BA's market capitalisation is little more than £2.5 billion. But its cash reserves and lines of unused credit total much more than half of this at around £1.7 billion. Put another way BA has enough cash to buy a lot more than half its own shares. So a lot is possible with the combined IAG resouces.

However my former (non aviation) employer kept a watching brief on all aspects and activities of a whole range of corporations that it might possibly consider purchasing at some future date. In general these were not direct competitors but either major suppliers or major customers with directly associated activities. Mostly the files on these corporations were regularly updated and then refiled. But occasionally . . .

So, while anything is possible I would be surprised if many more than a couple of opportunities are actually persued by IAG. However, recognising that BA has closed down its franchise agreements with other British airlines but retained both the overseas franchises, I do see IAG's CEO looking further afield than the UK or even Western Europe.

Their apparent start with IT is logical.. With India being BA's second largest market after the USA and with the latter effectively covered by ATI with AA then some formal arangement or purchase of an Indian airline would be a natural.

Who would IB bring to the table?


User currently offlineLHRFlyer From United Kingdom, joined Apr 2010, 820 posts, RR: 1
Reply 9, posted (4 years 2 months 3 weeks 1 day 13 hours ago) and read 16641 times:

Quoting Timboflier215 (Reply 1):
for the others, BA looked at QF before, but decided it was too complicated. Is this still the case?

I think it was more to do the lack of agreement on the respective share of ownership, though post IAG, the relative financial positions of IAF and QF will be quite different.

There was also a lot of opposition to the deal in Australia - the press coverage at the time was very hostile to the deal.

Never say never, but the line in public from QF is that they are not looking to consolidate at the moment.


User currently offlineEricR From United States of America, joined Jul 2010, 1904 posts, RR: 1
Reply 10, posted (4 years 2 months 3 weeks 1 day 13 hours ago) and read 16612 times:

If LX was still an independent carrier, I would suspect this would be one of the targets. OW seemed very disappointed at losing LX.

My guesses are:
LO
SK (although what do you do with this historically unprofitable airline)....maybe AY is a better alternative
IT
JL (not sure what the Japanese laws are regarding foreign ownership of Japanese carriers)
CX
LA


User currently offlinemutu From United Kingdom, joined Mar 2006, 538 posts, RR: 0
Reply 11, posted (4 years 2 months 3 weeks 1 day 11 hours ago) and read 16195 times:

Too much focus on cash and what IAG could afford. remember airline mergers can be primarily paper just like BA/IB deal.(aand AF/KL and DL/NW etc)

I also think the new topco name gives a clue to the ambition, IAG rather than EAG (european)!!

And just because local legislation prohibits meaningful foreign ownership today doesnt rule it out tomorrow. o as long as India et al move towards a 49% foreign ownership limit, the IAG model works.


User currently offlineTimboflier215 From United Kingdom, joined May 2005, 1342 posts, RR: 1
Reply 12, posted (4 years 2 months 3 weeks 1 day 11 hours ago) and read 16015 times:

Quoting ANstar (Reply 7):
Buy a profitable UK regional, cut its routes as it is no longe rprofiatble with BA's cost structure, sell or dispand said regional. Then buy it again... repeat.

Hopefully IAG would continue running FlyBE as a separate carrier, with separate branding and low costs. Bring it's cost base to BA's level and most of the routes they fly become unprofitable overnight.


User currently offlineOP3000 From United States of America, joined Jun 2009, 1784 posts, RR: 2
Reply 13, posted (4 years 2 months 3 weeks 1 day 10 hours ago) and read 15399 times:

Quoting vv701 (Reply 8):
With India being BA's second largest market after the USA and with the latter effectively covered by ATI with AA then some formal arangement or purchase of an Indian airline would be a natural.

The timing and location (Mumbai) of this statement may be motivated to give some grander perspective to a possible IT bid.

After India other natural fits for BA would be Australia and Southern Africa, areas where their current partners may be the acquisition targets themselves.

Quoting vv701 (Reply 8):
Who would IB bring to the table?

I personally do not think a merged LAN-TAM would be interested at the moment, both from a managerial or financial perspective. And they already have enough bargaining power to exact concessions (joint marketing, deep ATI, etc) from BA/IB/AA in terms of their alliance decision to need to concede an ownership stake.

The old state-owned IB ventured into owning airlines in Latin America in the 90's with bad results - so I'm not sure what their current corporate hierarchy's mood is towards such ventures. In the past they would have gone after a situation like MX's - today I highly doubt it. If LAN-TAM stay in oneworld (which I for one think they will) then I don't really see BA/IB wanting/needing another partner, kind of like the case of AA in the US.


User currently offlinefcogafa From United Kingdom, joined May 2008, 867 posts, RR: 0
Reply 14, posted (4 years 2 months 3 weeks 1 day 10 hours ago) and read 15110 times:

No-one has mentioned JetBlue, a likely contender in my opinion. Flybe, being in the same ilk is a good choice, especially with the large order of Embraers which could fit into the Gatwick operation well.

User currently offlineshamrock604 From Ireland, joined Sep 2007, 4211 posts, RR: 12
Reply 15, posted (4 years 2 months 3 weeks 1 day 9 hours ago) and read 15015 times:

Quoting fcogafa (Reply 14):
Flybe, being in the same ilk is a good choice, especially with the large order of Embraers which could fit into the Gatwick operation well.

Not if Air France get there first!



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User currently offliner2rho From Germany, joined Feb 2007, 2742 posts, RR: 1
Reply 16, posted (4 years 2 months 3 weeks 1 day 9 hours ago) and read 15009 times:

The main obstacle, as always, are ownership restrictions. That pretty much limits any outright acquisition to Europe, and everything else to acquiring bigger or smaller participating stakes in airlines.

Back when the merger was still a rumor I think IB had around 3billion in cash - that should surely help...

Quoting OP3000 (Reply 13):
The old state-owned IB ventured into owning airlines in Latin America in the 90's with bad results - so I'm not sure what their current corporate hierarchy's mood is towards such ventures.

True, but those were purely political deals between policians exchanging "favors", and not business decisions. Today it would be different. Every other large Spanish corporation is highly succesful investing in South America, so why shouldn't IB follow suit? I don't know how restrictive South American ownership restricitions are, but if anyone can manage to loosen them, it would be a Spanish company like IB. But we'll have to see what LAN-TAM do first.


User currently offlineOP3000 From United States of America, joined Jun 2009, 1784 posts, RR: 2
Reply 17, posted (4 years 2 months 3 weeks 1 day 9 hours ago) and read 14876 times:

Quoting r2rho (Reply 16):
Back when the merger was still a rumor I think IB had around 3billion in cash - that should surely help...

It is the only reason why they can talk about these potential deals in such vast terms. But then again I would not expect them to be overly aggressive - unlike DL/SkyTeam they barely offered any monetary infusions to keep JL in oneworld at the end of last year.

Quoting r2rho (Reply 16):
True, but those were purely political deals between policians exchanging "favors", and not business decisions. Today it would be different. Every other large Spanish corporation is highly succesful investing in South America, so why shouldn't IB follow suit? I don't know how restrictive South American ownership restricitions are, but if anyone can manage to loosen them, it would be a Spanish company like IB. But we'll have to see what LAN-TAM do first.

Not necessarily political - IB was following what other Spanich corporations (Telefonica, Santander and others) were doing at the time in terms of investing in South America. Most of the airlines they bought were state-owned (AR, Viasa), but others like Ladeco of Chile were not.

The ownership restrictions are generally up to 49% in most countries, with some like Colombia and Chile allowing 100%. Brazil is 25% now, but due to be amended to 49% next year in legislation goes through. It would also allow for up to 100% - matching whatever the country of origin of the foreign entity allows for.


User currently offlinevhtje From United Kingdom, joined Jan 2009, 377 posts, RR: 0
Reply 18, posted (4 years 2 months 3 weeks 1 day 8 hours ago) and read 14379 times:
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I think one of the chief reasons the QF-BA tie up didn't fly before was because of conditions of the QF Sale Act which prohibts foreign (i.e. non-Australian) ownership of more than 49% of shares.

Could a tie up be possible if they got around it by "doing" a LANTAM-type arrangement?


User currently offlineOzarkD9S From United States of America, joined Oct 2001, 5197 posts, RR: 21
Reply 19, posted (4 years 2 months 3 weeks 1 day 7 hours ago) and read 13887 times:

Looking outside of the obvious oneworld carriers already mentioned:

WestJet
Carribean/Air Jamaica
A reborn Mexicana (Longshot)
Comair (S.Africa, already a franchise carrier, does BA own any of them already?)
Malaysian...STILL no alliance for these guys
Cyprus Airways
Air Malta

I've also wondered if Finnair would be interested in taking over Malev, with BA/IB holding a significant share of that entity.

Some posters have mentioned the rather tenous AB finances, not familiar with it myself but who knows...

And my personal idea, 49% of US, 24.9% voting shares with AA buying 2% and 26% voting shares leaving US independent but lured into the oneworld fold, thus avoiding the nightmare of actually merging US and AA.



Next up, STL-ATL-MSY-ATL-STL
User currently offlineRyanairGuru From Australia, joined Oct 2006, 5905 posts, RR: 5
Reply 20, posted (4 years 2 months 3 weeks 1 day 7 hours ago) and read 13793 times:

Quoting vhtje (Reply 18):
I think one of the chief reasons the QF-BA tie up didn't fly before was because of conditions of the QF Sale Act which prohibts foreign (i.e. non-Australian) ownership of more than 49% of shares.

Yes there is (oddly enough) an Act of the Commonwealth Parliament which prohibits the sale of a majority stake in Qantas to a foreign shareholder. However Australia is definitely no where near as anti foreign investment as the USA so with a decent pitch to the Foreign Investment Review Board it's not to say the situation might not change in the future.

However, this was not the main stumbling block to the negotiations. I believe that QF walked away when they realised that was no financial gain in merging with BA, but how they reached this decision I don't know....

Out of interest does anybody know which (non EU) countries would let a UK based company purchase a majority stake? ie those that don't have the 49% rule (USA) or whose legislatures are likely to do strange things to prevent a prospective merger (Australia)


For anyone who's interested s7(1)(a) is the bit about foreign ownership:
http://www.comlaw.gov.au/ComLaw/Legi...6/$file/QantasSale1992_WD02HYP.pdf



Worked Hard, Flew Right
User currently offlinecpd From Australia, joined Jun 2008, 4880 posts, RR: 37
Reply 21, posted (4 years 2 months 3 weeks 1 day 6 hours ago) and read 13558 times:

Quoting Timboflier215 (Reply 1):
s for the others, BA looked at QF before, but decided it was too complicated.

I'd suggest that rather than QF being an acquisition target, it might be the other way around, that BA/IB could be a target for QF. But in any case, it doesn't seem like QF needs to involve itself with BA's issues.

Quoting RyanairGuru (Reply 20):
but how they reached this decision I don't know....

Wasn't it something to do with British Airways' ballooning pension deficit at the time?


User currently offlineEricR From United States of America, joined Jul 2010, 1904 posts, RR: 1
Reply 22, posted (4 years 2 months 3 weeks 1 day 6 hours ago) and read 13460 times:

Quoting OzarkD9S (Reply 19):

WestJet
Carribean/Air Jamaica
A reborn Mexicana (Longshot)
Comair (S.Africa, already a franchise carrier, does BA own any of them already?)
Malaysian...STILL no alliance for these guys
Cyprus Airways
Air Malta

I've also wondered if Finnair would be interested in taking over Malev, with BA/IB holding a significant share of that entity.

Some posters have mentioned the rather tenous AB finances, not familiar with it myself but who knows...

And my personal idea, 49% of US, 24.9% voting shares with AA buying 2% and 26% voting shares leaving US independent but lured into the oneworld fold, thus avoiding the nightmare of actually merging US and AA.

I like the WestJet, reborn MX and Malaysian suggestions. However, I am not sure investing 49% in US would be worth the benefit that US would bring to the OW alliance. I think US would provide more value to the likes of WN, FL, F9, or AS, than they could to a legacy carrier.


User currently offlineZkpilot From New Zealand, joined Mar 2006, 4841 posts, RR: 9
Reply 23, posted (4 years 2 months 3 weeks 1 day 6 hours ago) and read 13453 times:

Quoting BA174 (Reply 6):
I would say QF group are very likley I think QF have since regretted turning the BA deal down last time. But at the same time I think QFs global location may be a problem as BAs HQ will also be IAGs at LHR. BE and EI and even BD I see as potential targets in BA/IBs mind Willie has previously stated that he is watching BD to possibly get BA some slots.

QF turned the deal down because a) BA has a lot of problems with employees (in particular pensions at the time), b) QF is stronger financially which BA didn't want to recognize. Right now QF has a market cap of £3.4b vs BAs:

Quoting vv701 (Reply 8):
BA's market capitalisation is little more than £2.5 billion.

QF itself also has a lot of cash on hand although they are using it more for buying new aircraft and as a buffer rather than for acquisitions. BA does have a lot of old aircraft (particularly 744s and 763s) that need to be replaced soon.



56 types. 38 countries. 24 airlines.
User currently offlineRyanairGuru From Australia, joined Oct 2006, 5905 posts, RR: 5
Reply 24, posted (4 years 2 months 3 weeks 1 day 5 hours ago) and read 13367 times:

Quoting cpd (Reply 21):
Wasn't it something to do with British Airways' ballooning pension deficit at the time?

That was it: BA's labour cost issues were a major black mark on anything BA could offer QF. Also...

Quoting cpd (Reply 21):
I'd suggest that rather than QF being an acquisition target, it might be the other way around, that BA/IB could be a target for QF
Quoting Zkpilot (Reply 23):
Right now QF has a market cap of £3.4b vs BAs:

QF should have been the major partner in a merger between BA and QF, something simply BA refused to accept. The best they were prepared to concede was a marriage of equals (a la UA-CO). Coupled with the fact that when the last sat down over a coffee in 2008 QF was (and still is) profitable while BA was (and still is) highly loss making there was simply nothing in it for QF.

IMHO the moments past. It's not going to happen now.



Worked Hard, Flew Right
25 OP3000 : Not so much - since LH owns 24% of B6. WS is likely to attract attention from a lot of foreign interests, but it would be especially valuable for OW.
26 tullamarine : QF walked away as the deal offered them nothing but risk. The huge unfunded pension liability was the killer. QF are not averse to future acquisitions
27 Post contains links OP3000 : Another extensive report on BA's acquisition strategy, a possible B6 interest (which surprises me), and a brief outlook on the BA/IB aircraft orders f
28 IndianicWorld : I think they should get their house in order before looking big. It will be hard enough trying to intergrate BA and IB, let alone others just yet. Som
29 r2rho : I would agree, but the problem is that IB-BA have wasted so much time and fallen so far behind their rivals, that they have a lot of catching up to d
30 bedo : My bet is they are looking for LCCs to work as feeders for their long haul business. IB is planing to start a new LCC in Spain to work as a feeder, th
31 dean : I would say Malev... within 5 years!
32 IndianicWorld : I see what you mean, but with so many issues they will deal with alone, sort those out, and by then, the environment around may be very different. LH
33 Post contains images CHRISBA777ER : Cheers Tim My personal feeling is that we need to view the potential takeover of other airlines as being focussed not on what BA/IB are now, but wher
34 A388 : How would a big airline combination like BA/IB see any added value in adding these airlines? The Caribbean is too small and their close partner AA al
35 KrisYYZ : No one wants Malev! Not even the Russians who where basically given the for free. Maybe MA will be attractive in 5 years, that is if it survives that
36 SR4ever : BA and IB should focus on building and consolidating their common umbrella first, there is still a lot to be done at that stage. Then bring AB and AY
37 Gonzalo : Mmmm...never say never.... but I hardly can imagine the Cueto family even THINKING in sell LAN. The airline is a gold mine, with a very good growing
38 kimberlyrj : hey hey QF doesn’t have the money to take over BA/IB nor would they really want to! They are good at what they do and for the time being they are th
39 BA174 : The problem was both wanted 60/40 BA because they are nearly double the size of QF in terms of passenger numbers and aircraft in the fleet hence more
40 LipeGIG : They don't need to sell. BA/IB only need to buy a share that allows them to keep LA/JJ on their radar. My point is that, if Latam goes to Star, the a
41 dean : That thing with the Russians was more like a political decision than anything like a "good investment". But I think they had the chance! Back in 2001
42 Gonzalo : I see your point and make sense. But the key word in your sentence is "IF". Rgds. G.
43 LipeGIG : You're 100% correct. My point is that, i see as very important for IB/BA, to have LA as a partner. They know without LA, their life in Latin America
44 Timboflier215 : You're welcome! I see this as highly likely. Can you imagine EI, BE, AB and someone like WizzAir or LO? With the rest of OW, they would have most of
45 SR4ever : Couldn't BE join Skyteam instead? I guess LH is not gonna let LO switch alliances without fighting.
46 Sketty222 : First on the list for me would be BE. AF are starting more codeshares with them but BA already own a certain % of the company believe. Next would be A
47 Post contains links LGWGate49 : The bookmaker Paddy Power are now taking bets if you fancy putting some money on who will be the first to be taken over: http://www.paddypower.com/bet
48 Clarkee82 : Finnair - Very likely & quoted in several reports about WWs statement FlyBe - Makes sense, BA already have a 15% share & they seem to have tu
49 andaman : It just seems the Finnish side isn't that excited, not at this point at least, according to the Finnish business paper. Privatizing AY would be a har
50 CHRISBA777ER : AY at 7/2?!?!?!? Lump on!!!!!
51 LGWGate49 : Never really understood how bookies calculate odds (especially on something as specialized as this), but Copa are suddenly joint favourite with Paddy
52 SR4ever : Given that LHR is gonna remain congested within the next 15yrs, and in view of the geographical location of HEL, I wouldn't worry too much. HEL may b
53 OP3000 : It is completely baseless - just the aggregate of a bunch of people's hunches. Within OW, HEL may become to Northern Asia what MAD will be to Latin A
54 Post contains links OP3000 : One more airline to add to the list of potentials - GulfAir. It would be an interesting foothold for a major European carrier to have a hub in the Gul
55 RyanairGuru : Now that could be interesting.... There is so much speculation on here about how EK is going to kill the legacies, so what not take the battle to EK?
56 Post contains images teme82 : As andaman said the Finnish government has majority of AY shares and they aren't selling them. The same goes for me HEL is a bit too far in the East
57 SCL767 : Indeed; especially since LAN currently operates 37 weekly flights at MAD. It is important to note that TAM chose MAD as the location of their Europea
58 r2rho : Makes sense in terms of complementary networks, but from a practical point of view, ATI + strengthened coordination (schedules, codeshare, FF program
59 Post contains links SCL767 : LAN and TAM executives were recently in London reviewing the proposed deal presented by IB/BA. LAN and TAM have indicated that after their merger is c
60 SCL767 : South African Airways would be an excellent addition to OW. Why not? LH solely cares about their ROI. I would think that LH's main goal is to ensure
61 kiwiandrew : I can't see the South African authorities allowing this while BA still have their franchise carrier Comair as the number two carrier in the country .
62 Post contains images kiwiandrew : IIRC it was a 19% stake , not 24% , and I believe that it is actually less than 19% now . As has been noted by others posters if a deal with AA boost
63 SCL767 : There are other domestic carriers operating within South Africa. For example, Airlink operates to more domestic destinations within South Africa as c
64 Post contains images OP3000 : If they only cared about ROI there's a lot better places for their $300 million than 19% an airline in the USA. But even if it was true that they onl
65 kiwiandrew : I have to admit that I was just thinking out loud ( or at least typing what I was thinking out loud ) but I could see it being quite beneficial to LH
66 SCL767 : Then maybe LH will help out TAP and other struggling carriers since LH has deep pockets. LAN Airlines also has demonstrated the same; except that LAN
67 kiwiandrew : I think I missed something there , I don't quite make a connection between my comment and your reply ? Although I have to admit that I agree with you
68 SCL767 : Because this is exactly what Star is doing in South America; particularly to JJ in Brazil. SQ will soon fly SIN-BCN-GRU, TK potentially operating a t
69 OP3000 : They can't dictate, but they will certainly try to influence and not just aspire to sit on the sidelines. And the potential ROI is a pittance compare
70 Post contains images 2travel2know2 : CM is Latinamerica's airline of many surprises. Maybe Paddy Power does pay attention to not-that-popular but both interesting and profitable airlines
71 AA1818 : You know something!........ AA1818
72 SCL767 : So that justifies why they do not have to be loyal to JJ? I guess you think that both LAN and TAM do not have competitive long-haul product(s) and ov
73 GingerSnap : On the topic of Flybe. Should they go ahead and aquire Flybe...to maximise the UK feeder potential they would introduce LHR using BE metal surely? Of
74 abc9 : Hi SCL767 - maybe I've missed something, but what has LH done inthe past to reorganise EI ?
75 OP3000 : Unless they have ATI then they are not even supposed to be "loyal" or coordinate things. Never said that - what I did say if you read with some care
76 commavia : It's not a question of "permitting," since no airline can "permit" or not "permit" LAN to add flights anywhere. Certainly - AA and Iberia badly want
77 OP3000 : You're making a completely different point to what was being discussed, which was how LH and SQ are launching routes that their partners in South Ame
78 Post contains links and images vv701 : BA through its subsidiary, Britair Holdings Ltd, already has a financial stake in Commair. They own 12.85 per cent of Commair's equity or almost 54 m
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...Across The Other Ocean-AA/BA/IB Concessions? posted Fri Jan 29 2010 15:17:37 by Aaway
BA - IB Merger; More 2nd/3rd/4th City Flights... posted Wed Nov 18 2009 13:10:12 by Richardw
BA-IB Merger Fleet Consequences posted Wed Nov 18 2009 05:00:19 by NA