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Flybe nosedives on profits warning


Andy Onchan

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2 minutes ago, snowman said:

By increasing the price for unsold easyjet seats it supresses demand and effectively holds seats for those flybe customer who phone up to use the rescue fare 

If the seats were cheap there would be no seats for the rescue fare 

Thanks Stelios...

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17 minutes ago, Roger Mexico said:

But the only way we can guarantee those 'vital links' would be to run our own airline and that costs Guernsey (which has about the same size of air market) about £10 million a year.  Given the jaw-dropping incompetence of those running the DoI and related areas, we could probably double or triple that and add oodles more for whatever mad capital projects they feel they can justify with the extra responsibility.

If all we did was to come to arrangements with particular airlines to run services that we wanted, then that would also require subsidy and there would be no guarantee that those airlines wouldn't collapse or renege out of the agreements when it no longer suited them.  We'd lose the flexibility of Open Skies, have similar outcomes and have thrown away a lot of cash.

And that is without considering how we would decide just what those 'vital links' were.  As I wrote earlier:

Actually the collapse of Flybe rather illustrates just how flexible and reactive the airline industry under Open Skies is.  We are already seeing routes being taken up and bookings organised as well as things like the easyJet offer (and similar scheme from other parts of the travel industry).

As I’ve said previously many tines, Aurigny ONLY lose money because the Guernsey Government also have an open skies policy. Aurigny were in competition with Flybe and other airlines whilst there is a finite number of paying passengers to share between them.

Also, every passenger that airline B takes away from airline A, was airline A’s passenger who was going to pay the highest fare. It takes a bit of thinking about, but you will see why it’s not like competition between supermarkets for example.

Can we afford the politically correct niceties of competition over reliability, frequency and control of our own transport links?. I don’t think so.

If we had our own airline that was allowed to operate on key routes without competition, it would cost us, the taxpayers, a bit to set up for sure. But it would not lose money. Fares would probably not need to increase by much and we would be in control. Events like this last week would be a thing of the past. We wouldn’t be subject to conflicting priorities of the airlines who visit is.

Also, the income generated and wages paid to the staff would also stay within our economy.

Bin Open Skies. Regulate our routes and let’s take control of our own destiny.

 

Edited by madmanxpilot
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12 minutes ago, snowman said:

By increasing the price for unsold easyjet seats it supresses demand and effectively holds seats for those flybe customer who phone up to use the rescue fare 

If the seats were cheap there would be no seats for the rescue fare 

It's probably less deliberate than that.  A lot of bookings will have already moved across and there aren't many seats on the popular flights left (many are sold out), so the ones that are are expensive.  There are still a few bargains though at less popular times and Gatwick still has good prices as the main current lack of capacity is to the North West.

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15 minutes ago, madmanxpilot said:

As I’ve said previously many tines, Aurigny ONLY lose money because the Guernsey Government also have an open skies policy. Aurigny were in competition with Flybe and other airlines whilst there is a finite number of paying passengers to share between them.

Also, every passenger that airline B takes away from airline A, was airline A’s passenger who was going to pay the highest fare. It takes a bit of thinking about, but you will see why it’s not like competition between supermarkets for example.

Can we afford the politically correct niceties of competition over reliability, frequency and control of our own transport links?. I don’t think so.

If we had our own airline that was allowed to operate on key routes without competition, it would cost us, the taxpayers, a bit to set up for sure. But it would not lose money. Fares would probably not need to increase by much and we would be in control. Events like this last week would be a thing of the past. We wouldn’t be subject to conflicting priorities of the airlines who visit is.

Also, the income generated and wages paid to the staff would also stay within our economy.

Bin Open Skies. Regulate our routes and let’s take control of our own destiny.

 

name one project iomg has done that hasn't?

ann would be ordering a fleet of a380's......

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8 minutes ago, sir nige said:

name one project iomg has done that hasn't?

ann would be ordering a fleet of a380's......

No government project has been anything like an airline, so you can't compare.

There are a load of A380s floating around at the moment - another testament that biggest isn't always best.

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Interesting that some think Easyjet are the saviours. Worth reflecting on the fact that only this week they reduced capacity in their words 'consolidated flights' and have not exactly rushed to put that capacity back in. Also very happy to charge customers over £200 and in some cases more than £300 for a one way fare. Totally wrong and I hope people remember their behaviour when this eventually blows over. 

Also worth reflecting on the comments from the chief Minister that the IOM have been able to hit the ground running! If that was the case they would have had a contingency plan in place right away for the patient services contract and that clearly is not the case. 

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