More changes afoot at British Airways

Short Haul ops from LGW will change to single class only and their A380s will be postponed with first deliveries in 2013….more details of both below.

BA to move to single-class operations from Gatwick
Alex Derber, London (06Nov09, 12:34 GMT, 170 words)

British Airways chief Willie Walsh has indicated that BA will phase out two-class short-haul operations from Gatwick.

Walsh sees premium short-haul products remaining at Heathrow for at least the next 10 years, but was less optimistic about their prospects at London’s southern airport.

“I’m not sure we can continue to provide it [two-class short-haul] at Gatwick because demand at Gatwick is very different to demand at Heathrow,” he says.

“We can continue to justify a two-class service from Heathrow for a considerable time. Where the short-haul leg is part of a combined short-haul/long-haul journey there is still demand.

“We don’t get as much transfer from short-haul to long-haul at Gatwick.”

The BA chief believes there has been a “structural change in consumer behaviour” and that a single-class transition at Gatwick will need to happen “sooner rather than later” to reflect this.

Commenting on BAA’s sale of Gatwick to Global Infrastructure Partners last month, Walsh told investors that he thought the airport “would benefit from more focused ownership”.

Source: Air Transport Intelligence news

BA delays first A380 beyond London Olympics
Alex Derber, London (06Nov09, 12:46 GMT, 233 words)

British Airways is to again push back its A380 deliveries.

The UK flag carrier will now receive its first aircraft in 2013 rather than 2012, which means there won’t be a BA-liveried A380 in service ahead of the London Olympics.

The new delivery schedule will see BA receive four A380s in the 2013 financial year, three in 2014, three in 2015, and two in the 2016.

The carrier had initially planned to have all 12 of its ordered A380s by 2014, but revealed this summer that later deliveries might slide by up to two years.

BA has also released its latest assumptions on deliveries of the 787. These predict two aircraft to arrive in 2012, another 10 by 2015, and a total of 24 by 2017.

“We continue to discuss the delivery schedule for the 787 with Boeing,” says Willie Walsh, chief executive of BA.

Walsh says that BA will incur no financial penalties from changing its A380 delivery schedule. The change, he adds, will lighten the company’s capital expenditure burden over the next few years.

BA now expects to realise combined savings on fleet and non-fleet capital expenditure of £1.8 billion ($3 billion) between 2009 and 2014.

In the near term, the airline plans to cut capacity by 6% this winter, up from a previously announced 5%. Eight 747-400s and eight 757s will be grounded over the winter period.

Source: Air Transport Intelligence news