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Flybe 2.0 was losing £5m a month, say administrators

Flybe 2.0 was losing £5m a month, say administrators

Saturday 08 April 2023

Flybe 2.0 was losing £5m a month, say administrators

Saturday 08 April 2023


Want to buy a slice of Jersey aviation history? Flybe's assets and brand are up for sale - but recent comments from administrators have underlined the potential turbulence facing anyone who might want to take on the airline.

Flybe, which started life as Jersey European Airways in the 1970s and moved its headquarters to Exeter in the 2000s, became a victim of covid in 2020.

The airline was relaunched in Birmingham - with no routes to the Channel Islands - last year.

However, 'Flybe 2.0' was ultimately unsuccessful, with all flights ceasing in January. The brand is now up for sale once more, going on the market last month.

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CLICK TO ENLARGE: The routes announced when Flybe relaunched in 2022.

Property advisory firm Hilco Streambank has been assigned the task of selling the Flybe brand, its trademark, domain name, website content and social media accounts.

The administrator for Flybe, Interpath Advisory, has confirmed that it will begin the winding down process for the former airline.

Managing Director at Interpath, David Pike outlined the challenges of finding a new buyer.

He said: "Unfortunately, there was a challenging set of circumstances at play, including the use-it-or-lose-it rules related to slots, complexities with European recognition of a potential Temporary Operating Licence and the high costs associated with preserving the company's operating platform, which meant there was a limited window in which a clear path forward could be set."

The scale of the challenges faced by any potential buyer was further outlined last week, when administrators revealed that Flybe had been losing an average of £5m every month following its relaunch, placing the airline's total deficiency at more than £82m, according to industry publication FlightGlobal.

Expressions of interest for purchasing Flybe must be made by Tuesday 11 April.

READ MORE...

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