British Airways News
BA posts worst loss since privatisation
British Airways has sunk to new a low by posting record pre-tax losses of £148m for the three months ending 30 June, its first quarterly loss since privatisation in 1987. But passenger numbers stabilised during the period and are showing some signs of improvement for the peak summer months.
BA cuts free short-haul meals
British Airways is axing free meals on thousands of short-haul flights as part of inflight service cuts that it estimates will save £22m annually.
BA’s OpenSkies pulls JFK-Amsterdam
British Airways has been forced to ditch its OpenSkies New York to Amsterdam service due to recession causing the bottom to drop out of the premium market.
Strikes loom as BA talks with unions disintegrate
Negotiations between British Airways and cabin-crew unions Unite and GMB have ground to a halt, sparking fears of strike action. The failure to reach an agreement over plans to cut up to 3,700 jobs and freeze pay now leads to the two sides entering a 14-day cooling off period.
BA passengers with swine flu risk losing tickets
British Airways passengers who are prevented from boarding an aircraft because of suspected swine flu could lose the price of their ticket.
BA given £680m cash boost
British Airways has been given a lift after the trustees of its pension fund agreed to forgo £330 million in guarantees. The bail-out comes on top of last week’s agreement by institutional investors to raise £350 through a convertible bond.
Swine flu stokes fears of summer travel chaos
The prospect of a summer of travel chaos has been raised a notch after several airlines, led by British Airways and Virgin Atlantic, have started refusing to check-in holidaymakers suspected of suffering from swine-flu like symptoms, unless they can provide a “fit to fly” note from their doctor.
American Airlines hit by continuing losses
American Airlines has reported deepening quarterly losses for the second consecutive year, as weak demand and falling fares drove sales sharply lower. Net quarterly losses, excluding non-recurring charges, sunk to $319m compared to a loss of $298m a year earlier. Group revenues in the second quarter fell 21 percent to $4.89bn and in the first six months by 18 percent to $9.7bn.
BA to raise fresh capital
British Airways has asked investors to front extra funds as a safety net against a treble whammy of the credit crisis, swine flu, and the impending threat of cabin crew strike action, which it estimates could collectively burn £400 million in reserves.
Virgin Atlantic chief admits to awareness of price fixing
Steve Ridgway, the chief executive of Virgin Atlantic, has admitted to being aware that his airline had conspired to fix prices with British Airways.
BA expects five years for business travel recovery
British Airways’ premium market could take at least five years to recover, as over two thirds of businesses slash travel budgets.
BA pilots agree to pay cuts ahead of AGM
British Airways pilots have accepted a pay cut as part of a package of measures to save the airline £26 million but the airline is bracing itself for a tense AGM today.