n1786b
Posts: 384
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Market Rumor: Emirates To Buy BA?

Thu Jun 15, 2006 4:53 pm

I am just reporting this...

- n1786b

BA shares up on Emirates takeover talk
Thu Jun 15, 2006 8:29 AM BST

LONDON (Reuters) - Shares in British Airways gained 3.7 percent to 350 pence early on Thursday after speculation rival Emirates might be interested in a bid, possibly at around 450p a share, dealers said.

The shares topped the list of FTSE 100 index <.FTSE> gainers, despite a report that Emirates had denied the interest.

British Airways (BAY.L: Quote, Profile, Research) was not immediately available to comment.

http://today.reuters.co.uk/investing...ml&WTmodLoc=NewsArt-C2-AlsoToday-5
 
Floris
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RE: Market Rumor: Emirates To Buy BA?

Thu Jun 15, 2006 4:58 pm

Whahahahaha
Is it April 1 yet?
 
chiad
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RE: Market Rumor: Emirates To Buy BA?

Thu Jun 15, 2006 5:03 pm

It was just reported on CNN as a rumour, and that's the reason for BA's share rise.
 
BCAL
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RE: Market Rumor: Emirates To Buy BA?

Thu Jun 15, 2006 5:13 pm

It must just be a rumour based on the fact that EK is trying to buy some BA shares.

The rules and constitution of BA plc state that the airline must be majority owned by UK Nationals in order for the airline to maintain its status as a designated UK carrier. This can only be changed with full government approval as well as the approval of 100% of the shareholders. If BA's ownership falls into foreign hands, BA will lose this right and possibly many of their slots at LHR and also their right to fly between UK-US under BII, which would have adverse affects on the value of the airline. It would need more than all the petro-dollars in the world to get over all the obstacles, so the Sheiks can dream on about taking over BA.
MOL on SRB's latest attack at BA: "It's like a little Chihuahua barking at a dying Labrador. Nobody cares."
 
Curious
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RE: Market Rumor: Emirates To Buy BA?

Thu Jun 15, 2006 5:20 pm

Why would they want to any way, sure the have the US slots and a greater global reach. But the way EK is expanding and planning (fleet purchase etc) it will be a first class global airline and one that I think will be that at least in some respects be far superior to BA in the near future.
 
flyjetstar
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RE: Market Rumor: Emirates To Buy BA?

Thu Jun 15, 2006 5:23 pm

Quoting BCAL (Reply 3):
It would need more than all the petro-dollars in the world to get over all the obstacles, so the Sheiks can dream on about taking over BA.

Maybe they are aware of ways around these obstacles, if this is true of course. Isn't business about being creative, thinking outside of the box?
 
StarGoldLHR
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RE: Market Rumor: Emirates To Buy BA?

Thu Jun 15, 2006 5:51 pm

Emirates world domination begins.

I think this would be a good thing.
So far in 2008 45 flights and Gold already. JFK, IAD, LGA, SIN, HKG, NRT, AKL, PPT, LAX still to book ! Home Airport LCY
 
Billy
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RE: Market Rumor: Emirates To Buy BA?

Thu Jun 15, 2006 5:52 pm

There are ways around this, as LH has proven with the Swiss takeover. Whilst Swiss retains its privileges as a Swiss designated carrier, no one would argue that its owner is LH.
 
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EA CO AS
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RE: Market Rumor: Emirates To Buy BA?

Thu Jun 15, 2006 7:39 pm

Quoting StarGoldLHR (Reply 6):
Emirates world domination begins.

Not without their Whalejet order though...  Wink
"In this present crisis, government is not the solution to our problem - government IS the problem." - Ronald Reagan

Comments made here are my own and are not intended to represent the official position of Alaska Air Group
 
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chrisnh
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RE: Market Rumor: Emirates To Buy BA?

Thu Jun 15, 2006 7:58 pm

BA is nothing but excess baggage for a carrier like Emirates. No good can come of saddling Emirates with such an enormous, sloth-like entity. Yes, to all you BA-lovers out there...they are a good airline. But in buying the airline, Emirates would be getting that 'good' plus a WHOLE lot of 'bad.'

Deal...or no Deal?

NO DEAL!!

Chris in NH
 
Candid76
Posts: 552
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RE: Market Rumor: Emirates To Buy BA?

Thu Jun 15, 2006 8:05 pm

Wonderful, Manchester's favourite airline buys London's favourite airline, then they can convert all the 777s to "high density" config and move them to MAN building a world class hub here...

Ah well, one can dream
 
Zen100
Posts: 131
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RE: Market Rumor: Emirates To Buy BA?

Thu Jun 15, 2006 8:08 pm

I don't know what is happening to the British, if they allow everyone to buy them up like this. They will get to a point, where they will own nothing of value, be just consumers. So sad.

ProudQatari
ProudQatari. Small Country with 5* Airline
 
BCAL
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RE: Market Rumor: Emirates To Buy BA?

Thu Jun 15, 2006 8:21 pm

Quoting Zen100 (Reply 11):
the British, if they allow everyone to buy them up like this. They will get to a point, where they will own nothing of value

A very true statement and this is coming from a Brit. I think that our politicians and others are driven by greed which means they do not consider the long-term effects. For example, much of the UK's energy is the south east now comes from France following the sell-out to French power giants on whom we are now dependant. When supplies get low, there is little doubt who the French will cut off first. On top of this, we have BAA selling their airports to a Spanish consortium and now a rumour that our National airline will be brought by the Sheiks.
MOL on SRB's latest attack at BA: "It's like a little Chihuahua barking at a dying Labrador. Nobody cares."
 
Zen100
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RE: Market Rumor: Emirates To Buy BA?

Thu Jun 15, 2006 8:34 pm

Quoting BCAL (Reply 12):
long-term effects

Spot on. It is a lack of strategic long term planning on the part of your planners. But it is also a apathy on the part of the British. I'm shocked no one raised any dissent over the spanish takeover of this key asset. There was no voices rasied, no discussions, it was just approved and it went through. Strange place.

ProudQatari
ProudQatari. Small Country with 5* Airline
 
antskip
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RE: Market Rumor: Emirates To Buy BA?

Thu Jun 15, 2006 8:42 pm

Quoting ChrisNH (Reply 9):
BA is nothing but excess baggage for a carrier like Emirates.

EK would be going against it's so-far basic principles of not code-sharing or buying out old wood if they were to swallow a huge entity like British. Sri Lankan: yes - worthwhile. NZ? that would be a useful acquisition. British? - I would think too much duplication and baggage they don't need. Could it happen? Anything can happen. It would certainly put the cat amongst the pigeons, eh?! I don't expect it.
 
BCAL
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RE: Market Rumor: Emirates To Buy BA?

Thu Jun 15, 2006 8:47 pm

Quoting Zen100 (Reply 13):
I'm shocked no one raised any dissent over the spanish takeover of this key asset. There was no voices rasied, no discussions, it was just approved and it went through. Strange place.

Actually there were many objections and questions were asked in the House of Commons but at the end of the day they were ineffective or ignored.

BAA plc, which owns the airports, is a public limited company owned by shareholders who voted on the issue. The vote must have been in favour of the takeover, otherwise it would not have gone ahead. Again, this proves that people (i.e. the BAA investors which include corporations as well as individuals) are driven by short-term greed rather than the long-term effects.

As to why the UK Government did not step in to stop a British institution becoming foreign-owned, I cannot offer any explanation but most of our politicians do not have their heads screwed on their bodies these days.
MOL on SRB's latest attack at BA: "It's like a little Chihuahua barking at a dying Labrador. Nobody cares."
 
Concorde001
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Joined: Fri Jan 21, 2005 12:53 am

RE: Market Rumor: Emirates To Buy BA?

Thu Jun 15, 2006 8:51 pm

Emirites Bid For BA? (by ANother Jun 15 2006 in Civil Aviation)

Emirates have said they are not interested in buying BA.
 
Zen100
Posts: 131
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RE: Market Rumor: Emirates To Buy BA?

Thu Jun 15, 2006 8:54 pm

Next thing we will hear is that QR will buy Lufthansa?

ProudQatari
ProudQatari. Small Country with 5* Airline
 
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scbriml
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RE: Market Rumor: Emirates To Buy BA?

Thu Jun 15, 2006 9:17 pm

Quoting Zen100 (Reply 13):
It is a lack of strategic long term planning on the part of your planners.

There's your problem - the assumption that anything is planned! crazy 
Time flies like an arrow. Fruit flies like a banana!
 
Parabolica
Posts: 74
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RE: Market Rumor: Emirates To Buy BA?

Thu Jun 15, 2006 9:23 pm

EXCELLENT !

Maybe under EK ownership those bums at BA won't be so cocky next time they lose my luggage and actually answer the phone.

P-
oh please let there never be cell phones in airliners...
 
74472
Posts: 113
Joined: Thu Jun 15, 2006 10:19 pm

RE: Market Rumor: Emirates To Buy BA?

Fri Jun 16, 2006 12:42 am

Quoting ChrisNH (Reply 9):
No good can come of saddling Emirates with such an enormous, sloth-like entity.

I'm glad you think BA is a good airline. (LOL) I'm not sure though that an airline that is currently the most profitable in the world could be described as 'sloth-like'. Any very large airline with roots and history as deep as BA's is bound to have to face and react to change slowly.

I think 'veteran' is a better description. Don't you ?

Tell me please what EK will do with their 43 A380's when heaven forbid another international incident rocks this industry. Surely there can't be that many disgruntled PAX out there willing to trudge through DXB to save a buck?
 
Zen100
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RE: Market Rumor: Emirates To Buy BA?

Fri Jun 16, 2006 12:46 am

Quoting 74472 (Reply 20):
EK will do with their 43 A380's

No one is privy to their business plan. Which I can assure they do very well have.
Otherwise they would not have ordered them.

ProudQatari
ProudQatari. Small Country with 5* Airline
 
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shamrock350
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RE: Market Rumor: Emirates To Buy BA?

Fri Jun 16, 2006 1:10 am

Quoting Concorde001 (Reply 16):
Emirates have said they are not interested in buying BA

That's because they are after Aer Lingus instead  Wink
 
scotron11
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RE: Market Rumor: Emirates To Buy BA?

Fri Jun 16, 2006 1:10 am

Quoting Zen100 (Reply 11):

I don't know what is happening to the British, if they allow everyone to buy them up like this. They will get to a point, where they will own nothing of value, be just consumers

I can also say I am proud to be in a country which doesn't have "protectionist" and "jingoistic" barriers to a free market economy! Maybe that's why London is one of the major financial capitals of the world.

So what if BA is foreign owned, or BAA for that matter?
 
Zen100
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RE: Market Rumor: Emirates To Buy BA?

Fri Jun 16, 2006 1:14 am

Quoting Scotron11 (Reply 23):

I replied to a similar point in another thread.

Quoting MaartenV (Reply 13):
Reality is that the world is turning more and more into a global economy, in which you need economies of scale and a focus on consumers to survive and thrive.

Sure. By now, we have largely all taken in the Globalistation show. Qatar, where I'm from, is pretty now the standup model for it anywhere in the world right now. I think where our British friends, are in now, is something else. It's open door globalisations. The danger for the British, is where it just becomes a one-way door. If you don't own anything, but just consume all the time, you put yourself into a position where the terms of the trade are being decided outside of your control.

A case in point is the energy sector in the UK, a British postes 'BCAL' already made a note that the sector in the south of the UK is much in the hands of the French. Now god forbid, supplies become squeezed, who will the French cut of first? How you control the situation, what power do you have?

ProudQatari
ProudQatari. Small Country with 5* Airline
 
Concorde001
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RE: Market Rumor: Emirates To Buy BA?

Fri Jun 16, 2006 1:29 am

Quoting Scotron11 (Reply 23):
So what if BA is foreign owned, or BAA for that matter?

The Guardian estimate that the takeover of BAA by Ferrovial, and the resulting £7bn debt that weighs on BAA's accounts, means that the government will receive about £250 million less in revenue for expenditure.

Also Ferrovial are not promising to continue with the 'Heathrow East' project, which would have transforme Heathrow's central area into a world class facility.
 
voodoo
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RE: Market Rumor: Emirates To Buy BA?

Fri Jun 16, 2006 4:29 am

Dear Emirates: I'll be happy to sell my 100 BA shares at 450p each. Just let me know. Yours sincerely, Voodoo
` Yeaah! Baade 152! Trabi of the Sky! '
 
scotron11
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RE: Market Rumor: Emirates To Buy BA?

Fri Jun 16, 2006 6:15 am

Quoting Concorde001 (Reply 25):

Also Ferrovial are not promising to continue with the 'Heathrow East' project, which would have transforme Heathrow's central area into a world class facility.

From what I've read, both BA and BMI were quite satisfied with Ferrovial and their takeover of BAA. I would think it would be in their best interests to continue to invest in LHR, which is the "crown jewel" of the airports.
 
EK345
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RE: Market Rumor: Emirates To Buy BA?

Fri Jun 16, 2006 6:36 am

I do not think it's a good move on Emirates part if this is true... there are much better investments out there.

EK345
"and miles to go before I sleep..."
 
rwylie77
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RE: Market Rumor: Emirates To Buy BA?

Fri Jun 16, 2006 8:07 am

Quoting Zen100 (Reply 13):
Spot on. It is a lack of strategic long term planning on the part of your planners. But it is also a apathy on the part of the British. I'm shocked no one raised any dissent over the spanish takeover of this key asset. There was no voices rasied, no discussions, it was just approved and it went through. Strange place.

I'm sorry but you clearly don't understand a free market economy. These assets are publicy limited companies that the government has no influence on. Planners? We are not a communist run country where the government plans what is done within the country and economy - fortunately, as has been shown many times, this doesn't work. As for selling BAA to the Spanish? Who cares! We own so many assets abroad ourselves, so what the problem with selling a few at home? The companies will still employ people in the country and pay corporation tax locally...ok, profits will go abroad, but so what, its a free market! Vodafone do well owning telecoms company across the globle, and BP do not do so badly...HSBC are also a British bank bringing multi billion pound profits into the country. So what that we bring in electricity from France...let them have the polution from power stations or risk from nuclear generators!
 
Propulsion
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RE: Market Rumor: Emirates To Buy BA?

Fri Jun 16, 2006 11:13 am

...so this explains the the 45 A380's!!!  stirthepot 
A bus is a vehicle that runs twice as fast when you are after it as when you are in it.
 
kaitak744
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RE: Market Rumor: Emirates To Buy BA?

Fri Jun 16, 2006 11:41 am

Well, the only reason EK would want to buy BA is to get a huge amount of valuable slots at Heathrow. Other wise, this is just insane.