BA Announce Sale of BMI Regional

BMI Logo British Airways have sold BMI Regional to a Scottish consortium, Sector Aviation Holdings, previously referred to as Granite Aviation for a fee of £8M

BA will be happy with this not-insignificant price, but not as happy as the 330 staff that are expected to have their jobs saved as part of the deal.

Full story here:

http://www.guardian.co.uk/business/2012/may/10/british-airways-sells-bmi-regional

Advertisements

BMIBaby to be Grounded

BMI Baby

TravelMole is reporting that BMIBaby will be grounded from September, with some flights stopping next month, unless BA can find a buyer soon.

Bmibaby will be grounded from September, with some routes being stopped as early as next month, new owner IAG announced this afternoon.

The move by British Airways’ parent will affect almost 500 staff.

IAG said it was still willing to sell the East Midlands-based budget airline, but it said recently it didn’t expect to find a buyer for the carrier which is losing £25m a year.

IAG acquired bmibaby along with bmi from Lufthansa, but while bmi is being integrated into BA’s mainstream operations, BA has no desire to run the budget airline.

Full report here:

http://www.travelmole.com/news_feature.php?news_id=2001355

Integration of BMI with BA Continues

British AirwaysBritish Airways is hard at work integrating BMI into its operations. It has posted the following notices to its agents, detailing how BMI flights will be integrated:

Following the completion of the purchase of bmi on 20th April, British Airways is planning to integrate bmi into its operations.

The integration is likely to be a phased process, beginning on 23rd May. On this date, a number of bmi routes will transition to British Airways inventory control, using BA prime flight numbers.

Full details will be made available in due course.

The airlines will begin the process of moving bmi bookings into British Airways’ systems. This process will begin on 10th May when these changes will be actioned in both British Airways’ and bmi’s respective inventory systems.

In line with normal re-accommodation process, agents will receive a cancellation message from bmi, via the GDS, relating to the original bmi flight. The bmi flight code and number will change to a BA code and number. The flight will operate to the same schedule.

Trade partners with such bookings will be responsible for advising their customers of the changes and the corresponding re-issue of tickets.

British Airways requires that the e-ticket coupon and corresponding flight reservation match, which means that tickets will need to be reissued on an involuntary reroute basis. Specific ticket re-issue instructions will follow.

All tickets must be re-issued before a customer can travel. Failure to re-issue a ticket may result in customers not being able to travel.

The process of integrating two airlines the size of British Airways and bmi brings with it significant complexities. We are working hard to minimise the impact on agents and to keep agents up to date with our progress.

We ask for your patience and understanding during this period of transition and your support in helping customers so their travel plans are not impacted.

British Airways plans to operate bmi’s summer schedule and is not making any changes to the flight schedule as part of the re-accommodation process.

Further information will be made available closer to 10th May.

The original notice is here:

http://www.speedbirdclub.com/nl/all-news/news/twelve/maytwelve/bmiintegration/

BMI to BA Status Match Now Available

BMI LogoBMI Diamond Club Silver and Gold card holders can now activate their status match with British Airways, and will receive the same level. The form you need to fill in is here:

http://www.britishairways.com/travel/webforms/public/en_uk?eId=120001&wfpId=loyalty_card

However, don’t rush into doing this unless your BMI card is expiring this week or you have some British Airways flights in the next few weeks. It is recommended that you at least wait until after May 8th (all British Airways years start on the 8th of the month) which will give you an additional month of status with BA.

Additionally, if you are already a BA executive club member Silver or Gold member and do a status match, BA will reset your Executive Club year to the “current” month and will also remove any existing tier points you have, but then gives you 12 months at Silver or Gold from the date of the status match.

So, in general, you should take the following into account before deciding when you apply your status match:

  • Your BMI year end/status expiry date (this is not the date on yout BMI card)
  • If you already have status with BA,  your current BA status expiry date
  • Your BA travel plans for the next few months

Those that are new to BAEC and who want to quickly increase their Avios balance might want to check out the Amex Platinum Charge Card.

BA Owner May Struggle to Sell BMI Regional and BMIBaby

BMI RegionalIt is being reported that IAG, British Airways parent company and the new owners of BMI, are doubtful that they can sell the subsidiaries that were the unwanted part of the deal, putting 900 jobs at risk. Lufthansa, the previous owners of BMI Regional and BMI Baby, had tried to sell the subsidiaries, without success, so they were passed onto BA on completion of the deal, giving IAG a significant reduction in the price they paid.

IAG CEO Willie Walsh  said he is “not confident” about selling them, adding “These are airlines that Lufthansa struggled to sell but we are going to make an effort to sell them”.

Full story here:

http://www.bbc.co.uk/news/business-17817981

British Airways Might Pay Only £20M for BMI

British AirwaysBritish Airways’s parent Company, IAG, might end up paying only £20M for BMI, due it having to take on unwanted subsidiaries BMI Regional and BMI Baby. As part of the deal with Lufthansa, IAG were said to be able to receive a “significant reduction” in the acquisition fee if Lufthansa was not able to sell them before the completion of the deal.

IAG will have to incur the ongoing running costs of the subsidiaries until they can find a new buyer or decide to close them down, but this is a great piece of business for the group, which acquired 42 coveted Heathrow slots as part of the deal.

Full report here:

http://www.travelweekly.co.uk/Articles/2012/04/23/40273/ba+paid+just+20+million+for+bmi+claims+report.html

BA and BMI/Diamond Club Status Tier Match Confirmed

British Airways and BMI

Thing are moving fast this morning – no more than a few minutes after the rumour emerged about a status tier match between BA and BMI, a message has been sent to Diamond Club members confirming the details:

I’m writing to advise you of some important changes to the Diamond Club programme following the sale of bmi to IAG, the owner of British Airways, on 20 April 2012.

As a result, there are some key changes to your Diamond Club membership, which I would like to outline below, which also includes an invitation from British Airways.

1. Announcement of bmi’s exit from Star Alliance
2. A new partnership with British Airways
3. Business as usual for Diamond Club

1. bmi’s exit from Star Alliance

I’d firstly like to advise that from 20 April bmi will no longer be a member of Star Alliance.

However, you will still be able to enjoy the following Star Alliance benefits associated with your membership tier level until 31 May 2012.

You will continue to earn membership status miles and earn and spend destinations miles on bmi and Star Alliance carriers (excluding Lufthansa Group airlines) until 31 May 2012 .

For all Star Alliance carriers you will also be able to take advantage of your bmi and Star Alliance status benefits, including lounge access, priority check-in and priority boarding until 31 May 2012.

From 1 June 2012 any benefits associated with your tier membership and the ability to earn status miles and earn and spend destinations miles on Star Alliance airlines will end. Star Alliance award bookings made before 31 May 2012 will be honoured.

For further information including changes to award bookings, retrospective claims and award flight bookings please visit flybmi.com

2. A new partnership with British Airways

We’re pleased to announce that Diamond Club members will benefit from a new partnership with British Airways from 20 April 2012.

All members will be able to earn destinations miles on BA, for flights taken from 20 April 2012, and we will shortly introduce the option to spend your destinations miles on BA award flights

From today, Diamond Club Gold and Silver members will be able to access the British Airways lounges at London Heathrow and London Gatwick, when flying with bmi or British Airways – please present your Diamond Club Gold or Silver card on arrival to gain access.

As part of the transition of bmi into British Airways, from 1 May 2012 British Airways is inviting you, as a Diamond Club member, to also join the Executive Club at your equivalent tier status level. Diamond Club Gold customers will be invited to become Gold members of the Executive Club and Silver members to become Silver, which will be in addition to your Diamond Club membership. Further details will follow shortly.

You will also be able to transfer your destinations miles to Executive Club Avios points at a rate of 1:1. British Airways will also be offering Executive Club customers the ability to transfer from Executive Club Avios points into destinations miles at a rate of 1:1. For example 100 destinations miles could be transferred into 100 Avios points and vice versa.

We are creating an online tool that will allow Diamond Club and Executive Club customers to undertake transfers, which will be available from 3 July 2012. We will contact you nearer that date to explain how the tool will work and how to access it.

3. Business as usual for Diamond Club

Although today we are announcing a number of changes to the programme, we would like to assure you that it is business as usual for Diamond Club, including members who have a bmi Credit Card Account with MBNA.

We very much appreciate your loyalty to bmi and hope that you continue to enjoy the benefits of Diamond Club membership.

For more information on the changes please visit flybmi.com

We look forward to welcoming you onboard again soon.

Regards

Keeley Downing

This is great news for Diamond Club members, as the BA Executive Club generally provides better benefits at each tier level than the equivalent Diamond Club tier provides.