Re: Impending & Actual Business Failures Due to Covid 19
Posted: March 28th, 2020, 4:16 pm
When I last looked at their numbers, IAG's cash position was surprisingly healthy but Virgin Atlantic was in Big Issue territory.
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AsleepInYorkshire wrote:I am convinced that there are going to be a number of substantial business failures.
True. Singapore Airlines "SQ"dspp wrote:SA could fly into all the Asian and long haul destinations on an equal basis vs local flag carriers.
British Airways attempts to build access to the EU internal market all failed. Deutsche BA, Touraine Air Transport (TAT) in France, "Go" were all either closed or sold. The merits of the EU market have principally been exploited by Ryanair, Easyjet etc. LCCs have no interlining, no through checked baggage, limited catering and only have fleets that operate short to medium-haul. British Airways attempts to build a viable network as a self standing entity were undermined by British Midland and Virgin Atlantic being given precious long-haul traffic rights (while taking investment from foreign entities) plus the refusal to expand LHR for British Airways to build scale. Walsh's diagnosis of the problem works but has gutted Terms & Conditions for Employees and created so many sub-economic fares that one must question the rationale in both social and environmental terms.dspp wrote:Any airline outside of EU is disadvantaged in accessing the internal EU market.
Singapore Airlines is a member of the Star Alliance which includes Lufthansa. Lufthansa is clearly German and being a full service carrier it hubs principally via Frankfurt but again doesn't fly internally within the EU.dspp wrote:This is why SA has no route network within EU, USA, China.
Principle reasons mentioned.dspp wrote:The historical situation that led to the emergence of a LHR hub and profitable BA was running towards difficulties.
Correct.dspp wrote:Seeing that Walsh positioned for the future with IAG. That IAG strategy has been gutted by Brexit, but it does not make Walsh's diagnosis of the problem and the rationale of the solution incorrect.
If airlines expect public subsidy from National Governments it's surely only fair they operate in the National NOT European Community interest?dspp wrote:There is trouble ahead, because of Brexit, which will be accelerated by CV-19. regards, dspp
YeeWo wrote:True. Singapore Airlines "SQ"dspp wrote:SA could fly into all the Asian and long haul destinations on an equal basis vs local flag carriers.British Airways attempts to build access to the EU internal market all failed. Deutsche BA, Touraine Air Transport (TAT) in France, "Go" were all either closed or sold. The merits of the EU market have principally been exploited by Ryanair, Easyjet etc. LCCs have no interlining, no through checked baggage, limited catering and only have fleets that operate short to medium-haul. British Airways attempts to build a viable network as a self standing entity were undermined by British Midland and Virgin Atlantic being given precious long-haul traffic rights (while taking investment from foreign entities) plus the refusal to expand LHR for British Airways to build scale. Walsh's diagnosis of the problem works but has gutted Terms & Conditions for Employees and created so many sub-economic fares that one must question the rationale in both social and environmental terms.dspp wrote:Any airline outside of EU is disadvantaged in accessing the internal EU market.Singapore Airlines is a member of the Star Alliance which includes Lufthansa. Lufthansa is clearly German and being a full service carrier it hubs principally via Frankfurt but again doesn't fly internally within the EU.dspp wrote:This is why SA has no route network within EU, USA, China.Principle reasons mentioned.dspp wrote:The historical situation that led to the emergence of a LHR hub and profitable BA was running towards difficulties.Correct.dspp wrote:Seeing that Walsh positioned for the future with IAG. That IAG strategy has been gutted by Brexit, but it does not make Walsh's diagnosis of the problem and the rationale of the solution incorrect.If airlines expect public subsidy from National Governments it's surely only fair they operate in the National NOT European Community interest?dspp wrote:There is trouble ahead, because of Brexit, which will be accelerated by CV-19. regards, dspp