IAG buys BMI from Lufthansa

[elbarto]

IAG, parent company of BA and IB has reached an in principal agreement to buy BMI from Lufthansa.

Lufthansa -*Lufthansa and IAG reach agreement in principle on the sale of British Midland Ltd.

Looks as if BA will get back the middle eastern routes they sold to BMI a few years back.

I doubt Branson & co will be happy about this and expect his usual ranting and complaining about this purchase to come out in a few days. Virgin shouldn't have sat on their hands if they wanted BD as has long been rumored.

 

[Timba-Jet]

Interesting developments in terms of Star Alliance v Oneworld in the European market.

I not very familiar with it but from reading the articles, LH was glad to shake off BMI as it was not profitable, but what about the UK market for Star?

 

[simongr]

Wow - a lot of people put points to BMI hoping to get status with LH...

 

[clifford]

Wow - a lot of people put points to BMI hoping to get status with LH...

Did they? I can't imagine why. But then LH should never have taken on BD.

And what will happen to our BD frequent flyer miles, I wonder?

To the poster enquiring about the future of *G flights within the UK and Ireland, my advice is to just book Ryanair/EasyJet. A one-hour flight can't hurt you that much.

 

[ozavanti]

Looks as if BA will get back the middle eastern routes they sold to BMI a few years back.

The routes were actually never BA's elbarto, they were a code share agreement that BA had with a small airline called BMED, whom were swallowed up by BMI and as a result the agreement was terminated.

It was hard to pick it though as all staff wore BA uniforms and they had access to BA catering etc.

Shall be a pretty good buy for IAG given the routes, but more importantly the LHR slots they get access to as a result.

 

[777]

I'd be very surprised if the competition authorities don't have an opinion on this. At the very least i would see them as having to divest some of their slots - particularly at LHR

 

[elbarto]

I'd be very surprised if the competition authorities don't have an opinion on this. At the very least i would see them as having to divest some of their slots - particularly at LHR

It looks anti-competitive, but it's really just BA trying to stay on an equal footing with their rivals on the continent who don't face the same slot restrictions that are in place at LHR.

 

[StevePER]

Time to burn those Diamond Club points I think. We are thinking of going to NZ next year so this is a good way to do it.

 

[StevePER]

Time to burn those Diamond Club points I think. We are thinking of going to NZ next year so this is a good way to do it.

Miles burnt...

September 2012
PER-AKL (business)
AKL-BHE (economy)

2 people, 11,250 miles + £75 cash + £49.30 taxes and charges + £4.50 credit card fee per person.

I'll book the return using Krisflyer on Monday.

Amazingly, my Diamond Club silver status is still going from flights in July 2009!