03 April 2008

LHR - T5 - Horrid for BAA and Airlines

Knock on effect from BA’s debacle at LHR. Other carriers are stymied

While BA is grappling with its baggage woes – lets not think that everything is rosy for everyone else at Heathrow.

First BAA. As we have clearly seen the Spanish both paid too much for BAA and at the same time (or even as a consequence) they have very little money to invest. The uncertainty of the situation is exacerbated by the parliamentary investigation of BAA which could lead to a break up of the former government monopoly. This is even more likely to involve in delays in investment to fix LHR’s woes. And they are both legionary and legendary.

For the other airlines – this means delays for both Star and Skyteam airlines to move to their new homes. Which in turn need to be refurbished and brought up to something better than “less than a third world airport” that is now LHR. I recently flew through LHR and T4. It is amazing the building hasn’t been condemned.

The real winners – CDG, AMS, MAD, FRA and MUC.

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