BA to lower some Europe airfares

DeltaFlot · 06-12-2002, 02:25 PM

BA to lower some Europe airfares
June 12, 2002 Posted: 9:51 AM EDT (1351 GMT)

LONDON (Reuters) -- Europe's biggest airline, British Airways Plc, said on Wednesday it will offer lower European airfares from later this month as it tries to woo customers back from no-frills carriers.

The price cuts -- expected to start on 10-12 continental European routes -- are part of its plan to turn around its loss-making European shorthaul operations.

Chief Executive Rod Eddington said BA needed to ensure its online ticket system could meet expected passenger demand, and that the airline would use smaller planes and increased flight frequencies.

It would also need to cut aircraft turnaround times at airports -- another key tactic used to devastating effect by its low-cost competitors.

"We will roll it out in chunks," Eddington told reporters, but declined to say how deep the price cuts would be.

"What we have to get right is distribution, frequency and turnaround time. It is about shorthaul profitability," he said after speaking at a business forum.

BA is cutting 13,500 jobs, restructuring its shorthaul operations and cutting capacity in response to the slump in demand for air travel caused by the economic downturn and the September 11 attacks last year, as well as cut-throat competition from budget airlines in Britain and Ireland.

Eddington said that when he was appointed chief executive of Europe's largest full-service carrier in April 2000, the airline was losing hundreds of millions of pounds a year on its European shorthaul routes.

As a part of BA's cost-cutting drive, Eddington said the airline was on track to make 450 million pounds ($662 million) in annual savings by the end of March 2003.

smoothjazz · 06-13-2002, 02:09 AM

This is a good news... I should try BA this summer then...

06-12-2002, 02:25 PM	#1
DeltaFlot The Patriot Join Date: Jan 2001 Location: Laurel, MD Age: 36 Posts: 3,228	BA to lower some Europe airfares BA to lower some Europe airfares June 12, 2002 Posted: 9:51 AM EDT (1351 GMT) LONDON (Reuters) -- Europe's biggest airline, British Airways Plc, said on Wednesday it will offer lower European airfares from later this month as it tries to woo customers back from no-frills carriers. The price cuts -- expected to start on 10-12 continental European routes -- are part of its plan to turn around its loss-making European shorthaul operations. Chief Executive Rod Eddington said BA needed to ensure its online ticket system could meet expected passenger demand, and that the airline would use smaller planes and increased flight frequencies. It would also need to cut aircraft turnaround times at airports -- another key tactic used to devastating effect by its low-cost competitors. "We will roll it out in chunks," Eddington told reporters, but declined to say how deep the price cuts would be. "What we have to get right is distribution, frequency and turnaround time. It is about shorthaul profitability," he said after speaking at a business forum. BA is cutting 13,500 jobs, restructuring its shorthaul operations and cutting capacity in response to the slump in demand for air travel caused by the economic downturn and the September 11 attacks last year, as well as cut-throat competition from budget airlines in Britain and Ireland. Eddington said that when he was appointed chief executive of Europe's largest full-service carrier in April 2000, the airline was losing hundreds of millions of pounds a year on its European shorthaul routes. As a part of BA's cost-cutting drive, Eddington said the airline was on track to make 450 million pounds ($662 million) in annual savings by the end of March 2003. __________________ Febuary 15, 1898 December 7, 1941 June 8, 1967 September 11, 2001 Never Forget, Never Forgive If you kick the Tiger in the arse, you better be able to deal with the Tiger's teeth.

06-13-2002, 02:09 AM	#2
smoothjazz More Korean Air in 1/200! Join Date: Nov 2001 Location: SEOUL KOREA Posts: 6,447	This is a good news... I should try BA this summer then... __________________ BENJAMIN MY COLLECTION http://www.diecastaircraftforum.com/...tion-1179.html

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