ariis
Posts: 387
Joined: Wed Sep 22, 2004 8:04 am

Malev For Sell, LOT Interested?

Fri Jul 22, 2005 9:08 pm

Hi there,

rumours say, that LOT is interested in joining the so-called Aviation Solution International Consortium (founded by ex-Malev employees) which competes with Russian KrasAir to acquire stock shares of Hungarian national Malev. LOT has already been invited by the above consortium.

Has anyone heard of this? This has been reported by Polish Press Agency (PAP) and can be read here (unfortunately only in Polish). Perhaps someone will find more English resources (Bloomberg is said to have reported this today as well).

Best regards
FAO
FAO - Flight Activities Officer
 
ariis
Posts: 387
Joined: Wed Sep 22, 2004 8:04 am

RE: Malev For Sell, LOT Interested?

Fri Jul 22, 2005 9:11 pm

Just an update: a.net news service seems to have some articles about it.
FAO - Flight Activities Officer
 
HEGAN
Posts: 204
Joined: Sat Feb 26, 2005 1:11 am

RE: Malev For Sell, LOT Interested?

Fri Jul 22, 2005 11:42 pm

Maybe a fusion is too much, but I think it would have strategic sense. This could make survive Malev and will give the chance to LOT to become in one of the majors (if not the biggest) operator in Eastern Europe.

LOT operates Embraer ERJ135/145 + ERJ170 and Boeing B737 + B767 and Malev operates CRJ's and Boeing B737 + B767 which give us a fleet structure quite homogeneous, even if their regional airplanes supplier is not the same.

Agur,
Hegan
HEGAN: Euskadiko Aeronautikako eta Espazioko Clusterra
 
PolAir
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Joined: Tue May 08, 2001 2:20 am

RE: Malev For Sell, LOT Interested?

Sat Jul 23, 2005 9:09 am

It seems to me that LOT will have lots of trouble surviving sudden increase of frequencies by LCC's to Poland. Where would a capital come from. Polish gov? No way.
 
Danny
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Joined: Thu Apr 25, 2002 3:44 am

RE: Malev For Sell, LOT Interested?

Sat Jul 23, 2005 10:34 am

That's really laughable.

LOT should deal with internal problems first: losses, poor loads, and LCCs taking over the market. That's one.
Do they have excess cash to buy another airline? I don't think so. That's two.
Isn't Malev joining One World? LOT is in STAR. That's three.

 Yeah sure  Yeah sure  Yeah sure
 
ariis
Posts: 387
Joined: Wed Sep 22, 2004 8:04 am

RE: Malev For Sell, LOT Interested?

Sun Jul 24, 2005 6:34 am

Quoting Danny (Reply 4):
LOT should deal with internal problems first: losses, poor loads, and LCCs taking over the market.

Indeed. That is why I found the report so strange.

FAO
FAO - Flight Activities Officer
 
Joost
Posts: 1841
Joined: Wed Apr 20, 2005 8:27 pm

RE: Malev For Sell, LOT Interested?

Sun Jul 24, 2005 6:46 am

Well, the reasons you mention as poor loads and LCCs taking over the market, should just qualify for a takeover / merger. Malev and LOT are in the same situation: have competition from SkyEurope and Wizz, are old national carriers trying to survive in the very competitive european airspace. SN went bust, SR too. The new LX was bought by LH, KL by AF... another consilidation seems likely.

That LOT is in Star and Malev about to join Oneworld, is not a real problem here I think. LX also was about to join oneworld but will now be in star.
 
L410Turbolet
Posts: 5434
Joined: Wed May 05, 2004 9:12 am

RE: Malev For Sell, LOT Interested?

Sun Jul 24, 2005 6:53 am

How about merging LOT, CSA, Slovak Airlines and Malév into one and try to build some sort of Central European version of SAS? It would have domestic market of some 65 million pax with increasing purchase power.
 
slawko
Posts: 3742
Joined: Tue May 25, 1999 7:40 am

RE: Malev For Sell, LOT Interested?

Sun Jul 24, 2005 6:53 am

It would work provided one is willing to hand over the atlantic traffic to the other and cooperate from two hubs WAW/BUD on the inter-european network. If they combined their Atlantic flying out of one place (WAW) then they may just be able to justify an A350/787 year round. As it is neither one of them needs that kind of capacity all the way through the year. They could effectively become a big player in Eastern and Central Europe provided they can keep costs low, integrate everything and operate as one airline. LOT - Eastern European Airlines....??
"Clive Beddoe says he favours competition, but his actions do not support that idea." Robert Milton - CEO Air Canada