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AF022
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Re: IAG considering placing a bid for Norwegian

Mon Apr 16, 2018 6:08 am

Would IAG keep TATL routes on truck routes to points like JFK and LAX? I can't see how those routes could make money. Maybe redistribute the aircraft to less competitive cities from LGW?
Is DY making any money CDGJFK or LGWLAX? Could money be made?
 
LupineChemist
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Re: IAG considering placing a bid for Norwegian

Mon Apr 16, 2018 7:43 am

If they do it, I honestly can see Norwegian brand taking over Vueling, too.

Even in Spain Vueling has high awareness but terrible reputation where Norwegian is generally viewed positively due to most people using their shorthaul product which is quite good.
 
VolvoBus
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Re: IAG considering placing a bid for Norwegian

Mon Apr 16, 2018 9:36 am

Assuming IAG does take over Norwegian, could EI be the loser in the group ?

If EI's ramp up of TATL operations is designed to pick up passengers who would otherwise transfer at LHR, freeing up capacity for O&D, Norwegian's ability to operate non-stop from mainland Europe could eat into this traffic.
 
Andy33
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Re: IAG considering placing a bid for Norwegian

Mon Apr 16, 2018 10:25 am

EI's ramp up at DUB is rather more aimed at passengers from UK regional airports, almost all of which have mainline or regional EI flights to DUB.
 
Kashmon
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Re: IAG considering placing a bid for Norwegian

Mon Apr 16, 2018 11:51 am

VolvoBus wrote:
Assuming IAG does take over Norwegian, could EI be the loser in the group ?

If EI's ramp up of TATL operations is designed to pick up passengers who would otherwise transfer at LHR, freeing up capacity for O&D, Norwegian's ability to operate non-stop from mainland Europe could eat into this traffic.

Norwegian will be used to attack
AF/KL
LH
 
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enilria
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Re: IAG considering placing a bid for Norwegian

Mon Apr 16, 2018 1:03 pm

Kashmon wrote:
VolvoBus wrote:
Assuming IAG does take over Norwegian, could EI be the loser in the group ?

If EI's ramp up of TATL operations is designed to pick up passengers who would otherwise transfer at LHR, freeing up capacity for O&D, Norwegian's ability to operate non-stop from mainland Europe could eat into this traffic.

Norwegian will be used to attack
AF/KL
LH

...or just liquidated...
 
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seahawk
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Re: IAG considering placing a bid for Norwegian

Mon Apr 16, 2018 1:17 pm

Kashmon wrote:
VolvoBus wrote:
Assuming IAG does take over Norwegian, could EI be the loser in the group ?

If EI's ramp up of TATL operations is designed to pick up passengers who would otherwise transfer at LHR, freeing up capacity for O&D, Norwegian's ability to operate non-stop from mainland Europe could eat into this traffic.

Norwegian will be used to attack
AF/KL
LH

Unlikely,as IAG would probably need one of the two to take a bit of Norwegian to satisfy the EU authorities. And they will prefer both over FR.
 
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AAR
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Re: IAG considering placing a bid for Norwegian

Mon Apr 16, 2018 6:30 pm

IAG website says they have bought 4,61 % of shares.... but will NOT make an offer. please read the press release - it is made to correct the press understanding and conclusions

http://www.iairgroup.com/phoenix.zhtml? ... id=2342211
 
smallvoyageur
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Re: IAG considering placing a bid for Norwegian

Mon Apr 16, 2018 7:09 pm

In recent news not surprisingly Bjørn Kjos has rejected attempt for IAG to buy Norwegian. Although expert bankers re saying he wants a higher price.

https://www.thelocal.no/20180413/norweg ... et-carrier

As they say; "This is your captain speaking, be prepared for some turbulence" :airplane:
 
Galwayman
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Re: IAG considering placing a bid for Norwegian

Mon Apr 16, 2018 8:27 pm

Looks like it’s going to go ahead , IAG always go cheap with their first offer ( Vueling , EI) and then raise the prices , sounds like Kos will play ball
 
Bongodog1964
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Re: IAG considering placing a bid for Norwegian

Mon Apr 16, 2018 8:47 pm

AAR wrote:
IAG website says they have bought 4,61 % of shares.... but will NOT make an offer. please read the press release - it is made to correct the press understanding and conclusions

http://www.iairgroup.com/phoenix.zhtml? ... id=2342211


That isn't what it says at all, it actually says that the present share price does not constitute a takeover and might not result in a takeover. It then goes on to say that it is a means to commence discussions with Norwegian that might result in a takeover.
 
Jerry123
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Re: IAG considering placing a bid for Norwegian

Mon Apr 16, 2018 8:51 pm

AF022 wrote:
Would IAG keep TATL routes on truck routes to points like JFK and LAX? I can't see how those routes could make money. Maybe redistribute the aircraft to less competitive cities from LGW?
Is DY making any money CDGJFK or LGWLAX? Could money be made?

Depends on what sort of passengers they are picking up. It's quite possible they are picking up passengers who would not use the legacies and therefore are creating their own market. If IAG do buy Norwegian then i don't see them being pulled off routes like that.
 
mig21uti
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Re: IAG considering placing a bid for Norwegian

Mon Apr 16, 2018 10:24 pm

enilria wrote:
Kashmon wrote:
VolvoBus wrote:
Assuming IAG does take over Norwegian, could EI be the loser in the group ?

If EI's ramp up of TATL operations is designed to pick up passengers who would otherwise transfer at LHR, freeing up capacity for O&D, Norwegian's ability to operate non-stop from mainland Europe could eat into this traffic.

Norwegian will be used to attack
AF/KL
LH

...or just liquidated...


Why spend that money just to liquidated a brand that moves over 30 million pax a yer. A brand bigger than level and Vueling together. Why just dont use it for other markets?
Buying norwegian wont be cheap.

Norwegian SH is profitable in different markers than Vueling. And bigger. Norwegian LH is a stronger brand than Level and could be used in keep IAG in markets like France, germany, etc. They just need to move planes from one market to the other and end of story.
 
mig21uti
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Re: IAG considering placing a bid for Norwegian

Mon Apr 16, 2018 10:42 pm

The passenger that flies Norwegian LH likes to fly cheap. If you liquidate LH from LGW they will go to primera air or similiar. Why feed them?
 
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enilria
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Re: IAG considering placing a bid for Norwegian

Tue Apr 17, 2018 2:40 am

mig21uti wrote:
enilria wrote:
Kashmon wrote:
Norwegian will be used to attack
AF/KL
LH

...or just liquidated...


Why spend that money just to liquidated a brand that moves over 30 million pax a yer. A brand bigger than level and Vueling together. Why just dont use it for other markets?
Buying norwegian wont be cheap.

Norwegian SH is profitable in different markers than Vueling. And bigger. Norwegian LH is a stronger brand than Level and could be used in keep IAG in markets like France, germany, etc. They just need to move planes from one market to the other and end of story.

IAG doesn't care whether it makes money or not. BA/EI/IB profits are higher with Norwegian gone. And that's the bottom line.
 
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EightyFour
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Re: IAG considering placing a bid for Norwegian

Tue Apr 17, 2018 4:39 am

After BA took over BMI it didn't take long for them to cut BGO and SVG from LHR. I'm worried that if IAG takes over Norwegian non-OSL fliers in Norway will get shafted again.
 
jfk777
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Re: IAG considering placing a bid for Norwegian

Tue Apr 17, 2018 8:30 am

What makes Norwegian so juicy is the fleet and order book including lots of A321neoLR's. IF BA were to expand its LGW operation its not certain that the Norwegian planes would be used to fly them, it could be more old BA 777's. Many great possible angles to a Norwegian merger with all its assets and routes.
 
skipness1E
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Re: IAG considering placing a bid for Norwegian

Tue Apr 17, 2018 11:18 am

There are two issues being conflated here, for all intents and purposes Norwegian is TWO airlines, ignore the DY/D8/DU/DI split and the multiple AOCs, that's a smokescreen.
There is short haul :
Great product, new aircraft with WiFi, best in class and great value for money and seemingly profitable.
Holding their own against FR and EZY.

There is long haul :
Great product, new aircraft with WiFi, best in class and great value for money and seemingly bleeding money for market share with no end in sight.
Expanding hand over fist for market share with no sign of making money. Look at the fares being offered on LGW-SIN for example.

Synergies are not really apparent and there is in my mind, the real risk that long haul vanity will again destroy a decent short haul operation.
What's the point of NLH if it's not capable of being consistently profitable in the medium term? Great deals for the traveler but this is a clear bubble, if you complain that you can only afford to fly long haul due to NLH's lead in fares, then you're a loss making passenger in anyone's book. At what point do they expect to make some money on long haul? We are due another recession coming up.....
 
Bongodog1964
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Re: IAG considering placing a bid for Norwegian

Tue Apr 17, 2018 11:41 am

skipness1E wrote:
What's the point of NLH if it's not capable of being consistently profitable in the medium term? Great deals for the traveler but this is a clear bubble, if you complain that you can only afford to fly long haul due to NLH's lead in fares, then you're a loss making passenger in anyone's book. At what point do they expect to make some money on long haul? We are due another recession coming up.....


The only situation in which it would be sensible to fly passengers below cost price is if you are stimulating a market in the full knowledge that your cost base will reduce in the future. When you are flying one of the most economical aircraft on the market, which means you have no way of reducing flight costs, and all other costs are only ever heading up its just madness.
 
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Mortyman
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Re: IAG considering placing a bid for Norwegian

Tue Apr 17, 2018 11:45 am

skipness1E wrote:
There are two issues being conflated here, for all intents and purposes Norwegian is TWO airlines, ignore the DY/D8/DU/DI split and the multiple AOCs, that's a smokescreen.
There is short haul :
Great product, new aircraft with WiFi, best in class and great value for money and seemingly profitable.
Holding their own against FR and EZY.

There is long haul :
Great product, new aircraft with WiFi, best in class and great value for money and seemingly bleeding money for market share with no end in sight.
Expanding hand over fist for market share with no sign of making money. Look at the fares being offered on LGW-SIN for example.

Synergies are not really apparent and there is in my mind, the real risk that long haul vanity will again destroy a decent short haul operation.
What's the point of NLH if it's not capable of being consistently profitable in the medium term? Great deals for the traveler but this is a clear bubble, if you complain that you can only afford to fly long haul due to NLH's lead in fares, then you're a loss making passenger in anyone's book. At what point do they expect to make some money on long haul? We are due another recession coming up.....


The whole reason why Kjos and co got involved in Norwegian was to challenge SAS on it's monopolly, but also to start longhaul operations from Norway. Before Kjos and Norwegian, SAS didn't bother with doing long haul from Norway, only from Denmark and Sweden. Before Norwegian the fares were so high and longhaul was very limited from Norway. Most Norwegian had to go to Denmark, Sweden or Europe to get on a longhaul aircraft.. That was not acceptable, considering that Norwegian taxpayers payed for the loss making Swedish and Danish parts of SAS at the time. The hatred towards SAS in Norway was fairly high in Norway back in the late 90's.

The reson why Norwegian is so populare in Norway si not just because of the low fares, but also because they have challenged SAS and ridd Norway of the monopoly situtation and given Norwegians a routenetwork and options that SAS never did or wanted.
 
Geoff1947
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Re: IAG considering placing a bid for Norwegian

Tue Apr 17, 2018 12:04 pm

AAR wrote:
IAG website says they have bought 4,61 % of shares.... but will NOT make an offer. please read the press release - it is made to correct the press understanding and conclusions

http://www.iairgroup.com/phoenix.zhtml? ... id=2342211


Did you read it ? A takeover is mentioned as a possibility.

Geoff
 
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Revelation
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Re: IAG considering placing a bid for Norwegian

Tue Apr 17, 2018 12:14 pm

skipness1E wrote:
What's the point of NLH if it's not capable of being consistently profitable in the medium term? Great deals for the traveler but this is a clear bubble, if you complain that you can only afford to fly long haul due to NLH's lead in fares, then you're a loss making passenger in anyone's book. At what point do they expect to make some money on long haul? We are due another recession coming up.....

NLH is an on-going experiment. Some would even say they are a ground breaking kind of operation. They're learning what works and what doesn't. Flags of convenience work. Job shop crews work. Flying to SWF works. Flying to PVD and BDL largely does not. IAG is IMHO quite capable of stepping in, lopping off what doesn't work, and greatly expanding that which does. IAG could learn all this on their own, but they'd have to start today and time's money and they have more money than time. There's value in buying an entity that is heading in a direction you think is valuable and leveraging it to move your own business, even if that business being purchased is bleeding money. It happens all the time in other industries.

In a way IAG buying DY would be like a large auto conglomerate like GM, Ford, Toyota etc buying Tesla. Sure, they're losing money, but they've broken a lot of ground, and buying them up could move the entire conglomerate in new directions.

In short, many here are thinking of this as a strategic move (how could adding DY make more money right now for IAG?) vs a tactical move (how could adding DY make more money in the long term for IAG?).
Wake up to find out that you are the eyes of the world
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Mortyman
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Re: IAG considering placing a bid for Norwegian

Tue Apr 17, 2018 12:35 pm

If it' goes through it's gonna be intersting to see if IAG is prepared to pay the wages that the Norwegians working for Norwegian are used to. The cabincrew is proabably some of the highest, if not the highest payed in the world. Higher than SAS ...
 
BrianDromey
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Re: IAG considering placing a bid for Norwegian

Tue Apr 17, 2018 12:47 pm

I agree. The thing conglomerates need to careful of, however, is competing with oneself. IAG have largely avoided this, but Norwegian has significant operations in Spain, Ireland and the UK. I’d imagine these would be shrunk or moved into JVs over time.

787s could be used by IAG for BA branded services out of LGW or LHR, UK regions, be a good fit for EI at Dublin, or the LEVEL brand.
A321LRS could similarly be used from Ireland, the UK, Spain Portugal, etc, by any of Vueling, Level, EI, BA IB or Norwegian.

An IAG purchase of Norwegian would bring them better coverage in European short-haul and Eastern European markets. It might also open the possibility of inclusion in the AA/BA/IB/AY JV and help to feed BAs SYD strive at SIN. I think Norwegian gives IAG a lot of possibilities and I think the majority of the airline, outside LGW, could remain intact.
 
skipness1E
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Re: IAG considering placing a bid for Norwegian

Tue Apr 17, 2018 12:48 pm

Mortyman wrote:
skipness1E wrote:
There are two issues being conflated here, for all intents and purposes Norwegian is TWO airlines, ignore the DY/D8/DU/DI split and the multiple AOCs, that's a smokescreen.
There is short haul :
Great product, new aircraft with WiFi, best in class and great value for money and seemingly profitable.
Holding their own against FR and EZY.

There is long haul :
Great product, new aircraft with WiFi, best in class and great value for money and seemingly bleeding money for market share with no end in sight.
Expanding hand over fist for market share with no sign of making money. Look at the fares being offered on LGW-SIN for example.

Synergies are not really apparent and there is in my mind, the real risk that long haul vanity will again destroy a decent short haul operation.
What's the point of NLH if it's not capable of being consistently profitable in the medium term? Great deals for the traveler but this is a clear bubble, if you complain that you can only afford to fly long haul due to NLH's lead in fares, then you're a loss making passenger in anyone's book. At what point do they expect to make some money on long haul? We are due another recession coming up.....


The whole reason why Kjos and co got involved in Norwegian was to challenge SAS on it's monopolly, but also to start longhaul operations from Norway. Before Kjos and Norwegian, SAS didn't bother with doing long haul from Norway, only from Denmark and Sweden. Before Norwegian the fares were so high and longhaul was very limited from Norway. Most Norwegian had to go to Denmark, Sweden or Europe to get on a longhaul aircraft.. That was not acceptable, considering that Norwegian taxpayers payed for the loss making Swedish and Danish parts of SAS at the time. The hatred towards SAS in Norway was fairly high in Norway back in the late 90's.

The reson why Norwegian is so populare in Norway si not just because of the low fares, but also because they have challenged SAS and ridd Norway of the monopoly situtation and given Norwegians a routenetwork and options that SAS never did or wanted.


Great point, and instead of maturing out that market, owning it and making money for their shareholders, they exclaimed "Hold my beer!" and decided to get into one of THE most competitve markets in long haul. The Gatwick operation is very impressive but their using the same gates Laker, BCAL and Virgin used. Remember SRB is on record as saying VS would not have survived the 1991 Gulf War conflict without having gained access to Heathrow. It's never been enough to compete solely on price in this market, one of the reasons Pan Am went down was that a privatised BA raised their game in the front cabin and stole their big spenders. Norwegian are basing more than 8 brand new B789s at LGW and almost every route is still in it's first two years, being sold at cost or just below simply to get market share.
Bonkers.
 
Bongodog1964
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Re: IAG considering placing a bid for Norwegian

Tue Apr 17, 2018 2:06 pm

Mortyman wrote:
If it' goes through it's gonna be intersting to see if IAG is prepared to pay the wages that the Norwegians working for Norwegian are used to. The cabincrew is proabably some of the highest, if not the highest payed in the world. Higher than SAS ...


IAG could just do the reverse of what Norwegian do at present everywhere other than Norway and bring in agency staff and cut rates and poor T & C's
 
DalRiada
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Re: IAG considering placing a bid for Norwegian

Tue Apr 17, 2018 2:18 pm

Revelation wrote:

In short, many here are thinking of this as a strategic move (how could adding DY make more money right now for IAG?) vs a tactical move (how could adding DY make more money in the long term for IAG?).


I don't mean to be pedantic, but purchasing Norwegian would be a strategic (long term) move for IAG. Tactics are short term moves to complete long term strategic goals - shelling out billions is not a tactic, but a strategic action (which is about securing long term profitability).
 
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Revelation
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Re: IAG considering placing a bid for Norwegian

Tue Apr 17, 2018 3:12 pm

DalRiada wrote:
Revelation wrote:

In short, many here are thinking of this as a strategic move (how could adding DY make more money right now for IAG?) vs a tactical move (how could adding DY make more money in the long term for IAG?).


I don't mean to be pedantic, but purchasing Norwegian would be a strategic (long term) move for IAG. Tactics are short term moves to complete long term strategic goals - shelling out billions is not a tactic, but a strategic action (which is about securing long term profitability).

You are correct, I have it backwards. Too little coffee this AM! :-)
Wake up to find out that you are the eyes of the world
The heart has it's beaches, it's homeland and thoughts of it's own
Wake now, discover that you are the song that the morning brings
The heart has it's seasons, it's evenings and songs of it's own
 
Nami
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Re: IAG considering placing a bid for Norwegian

Thu Apr 26, 2018 11:57 am

I guess this was already known, but now publicly acknowledged by the CEO.

Norwegian Air Says It Has `Very Serious' Suitors Beyond IAG

  • Financial advisers hired as company softens hostility to bid
  • CEO Bjorn Kjos says ‘everything is for sale’ at right price

Norwegian Air Shuttle ASA said it has attracted interest from other potential suitors since the revelation that British Airways parent IAG SA may bid for the company.

Norwegian received several inquiries after IAG disclosed that it was building a stake and might make a formal offer, it said in a statement Thursday, sending the stock 16 percent higher. Chief Executive Officer Bjorn Kjos told Bloomberg TV that the approaches come from “very serious, professional” airline groups.

In a softening of his stance on a takeover, Kjos announced the appointment of a steering committee and financial and legal advisers to handle the situation, adding that while the board may not back a deal at Norwegian’s current value, “there’s a saying that if the price is right, everything is for sale.”

The comments mark a shift from Kjos’s outright rejection of the overtures from IAG, whose CEO Willie Walsh he described as “one of the best guys in the industry.” The London-based group, which owns Spain’s Iberia, Aer Lingus of Ireland and discounter Vueling, as well as BA, said on April 12 it had bought 4.6 percent of the Nordic carrier’s shares and was weighing an offer for the rest. [...]


The additional inquiries disclosed by Norwegian “may not be as serious” as those from IAG, but could drive any acquisition price higher, Davy Holdings analyst Stephen Furlong said in a note to clients. Kjos said he’s happy to have IAG as an investor and intends to act in the best interests of all shareholders.


https://www.bloomberg.com/news/articles ... beyond-iag
 
CrawleyBen
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Re: IAG considering placing a bid for Norwegian

Fri May 04, 2018 8:45 am

Being reported this morning that Norwegian have turn down 2 bids from IAG.

Full info in the following link - http://www.travelweekly.co.uk/articles/ ... eover-bids

Cheers

Ben
 
Kikko19
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Re: IAG considering placing a bid for Norwegian

Fri May 04, 2018 8:59 am

my 2 cents, FR will buy the leftovers of Norwegian. same fleet except the 787's.
 
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Mortyman
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Re: IAG considering placing a bid for Norwegian

Fri May 04, 2018 9:03 am

Norwegian has declined two bids from IAG

International Airlines Group (IAG) were not able to agree with Norwegian for bids on the airline

Norwegian: Got two different suggestions from IAG


Norwegian Board received two different conditional bid proposals from British Airways owner IAG for a purchase of the entire airline, but the Norwegian board rejected both.

Disagree

According to the presentation material from IAG in connection with the company's first quarterly results, it is stated:

"IAG confirms that it has had contact with the Norwegian Board for a possible bid without reaching agreement"

"IAG is now considering its opportunities related to Norwegian," it says



Rejected unanimously

The Norwegian Board confirms in a separate message to Oslo Børs on Friday morning that it received two different proposals from IAG for the entire company, but with reservations.

The board in Norwegian rejected both unanimously.

"The proposals were reviewed together with Norway's financial and legal advisors, and were unanimously rejected as they underestimate Norwegian and the company's prospects," it said in a statement.

"The Norwegian Board is fully committed to delivering on its stated strategy, in favor of all Norwegian shareholders," the board writes in the announcement.



Norwegian stock is down 10% on Oslo Stock Exchange

https://www.dn.no/nyheter/2018/05/04/09 ... ag-fra-iag
 
Prost
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Re: IAG considering placing a bid for Norwegian

Fri May 04, 2018 9:17 am

A couple of scenarios come to mind: negotiating for better terms for Norwegian, or it is a last and best offer from IAG before they declare all out war on Norwegian with their arsenal of Airlines.

It seems to an uncomfortable position to be in, but it will be an interesting story to follow.
 
parapente
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Re: IAG considering placing a bid for Norwegian

Fri May 04, 2018 9:22 am

I was wondering that too.Its not clear what the intentions of either party are frankly.IAG might just let then stew a while and see what that does,as I understand it their are still burning money.
 
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vhtje
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Re: IAG considering placing a bid for Norwegian

Fri May 04, 2018 9:23 am

Interesting that the vote was unanimous. I wonder if that means a) the board thinks IAG will offer more or b) the board believes their current strategy will succeed.

I wonder what IAG's next move will be?
I only turn left when boarding aircraft. Well, mostly. All right, sometimes. OH OKAY - rarely.
 
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CARST
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Re: IAG considering placing a bid for Norwegian

Fri May 04, 2018 9:32 am

If Norwegian / Kjos comes to the conclusion that longhaul LCC ops don't result in a positive return, they might just sell of the longhaul operation. A move which should be simple considering the separate AOCs. Thus e.g. IAG could take up lots of nearly new 787s, while Norwegian could keep growing in their profitable short- & midhaul markets within Europe (and perhaps even outside).
 
LHRFlyer
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Re: IAG considering placing a bid for Norwegian

Fri May 04, 2018 9:48 am

Worth noting that both IAG bids were conditional offers and we don't know what conditions IAG attached to the bids.

IAG CEO Willie Walsh reiterated today that he doesn't consider Norwegian's growth strategy to be sustainable.
 
dtw2hyd
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Re: IAG considering placing a bid for Norwegian

Fri May 04, 2018 10:56 am

I hope IAG never buys Norwegian. Hope Norwegian survives on its own. Don't want to see more of ULCC service at FSC fares.
 
slcdeltarumd11
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Re: IAG considering placing a bid for Norwegian

Fri May 04, 2018 11:10 am

It's only a.net that hates Norweigan, the ULCCs have so much more growth in Long haul left. The revolution has just begun.
 
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Jayafe
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Re: IAG considering placing a bid for Norwegian

Fri May 04, 2018 11:14 am

slcdeltarumd11 wrote:
It's only a.net that hates Norweigan, the ULCCs have so much more growth in Long haul left. The revolution has just begun.


Actually profit balances and investors seem to hate DY as well. Such a coincidence...
 
slcdeltarumd11
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Re: IAG considering placing a bid for Norwegian

Fri May 04, 2018 12:10 pm

Jayafe wrote:
slcdeltarumd11 wrote:
It's only a.net that hates Norweigan, the ULCCs have so much more growth in Long haul left. The revolution has just begun.


Actually profit balances and investors seem to hate DY as well. Such a coincidence...


Is that a joke? IAG made not one, but two offers to try to buy them. Clearly they are scared of them or they would just let them go under. They didn't run to IAG for the sale. ULCC is the future they will need to battle them with level I guess now.
 
ZuluTime
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Re: IAG considering placing a bid for Norwegian

Fri May 04, 2018 12:23 pm

So if IAG now dumps its 4.61%, Norwegian's share price tanks further and the whole pack of cards starts to look highly precarious. It would be quite a clever thing to do, if indeed that wasn't the plan all along.

It's at times like this that I remember British Island Airways turning down a bid of £34 million from Air Europe in 1989. It was a huge amount of money at the time. Less than 18 months later, the market had turned sour and BIA was no more.
 
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Revelation
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Re: IAG considering placing a bid for Norwegian

Fri May 04, 2018 12:28 pm

Jayafe wrote:
Actually profit balances and investors seem to hate DY as well.

Can't really compare profits of mature businesses versus emerging disruptive businesses.

slcdeltarumd11 wrote:
Jayafe wrote:
slcdeltarumd11 wrote:
It's only a.net that hates Norweigan, the ULCCs have so much more growth in Long haul left. The revolution has just begun.

Actually profit balances and investors seem to hate DY as well. Such a coincidence...

Is that a joke? IAG made not one, but two offers to try to buy them. Clearly they are scared of them or they would just let them go under. They didn't run to IAG for the sale. ULCC is the future they will need to battle them with level I guess now.

Not only made offers, but put out the cash to buy a noteworthy share of the business.
Wake up to find out that you are the eyes of the world
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Wake now, discover that you are the song that the morning brings
The heart has it's seasons, it's evenings and songs of it's own
 
WaywardMemphian
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Re: IAG considering placing a bid for Norwegian

Fri May 04, 2018 12:48 pm

Revelation wrote:
Jayafe wrote:
Actually profit balances and investors seem to hate DY as well.

Can't really compare profits of mature businesses versus emerging disruptive businesses.

slcdeltarumd11 wrote:
Jayafe wrote:
Actually profit balances and investors seem to hate DY as well. Such a coincidence...

Is that a joke? IAG made not one, but two offers to try to buy them. Clearly they are scared of them or they would just let them go under. They didn't run to IAG for the sale. ULCC is the future they will need to battle them with level I guess now.

Not only made offers, but put out the cash to buy a noteworthy share of the business.



See Amazon, Amazon and profits didn't mix for a long time. The only problem is it was a wall street darling tech stock, airlines are not.

I will say the prospect of AIG using Aer Lingus and preclearence facilities in Ireland is appealing. There's no plans for preclearence at LGW is there? That and there's less tax at the Irish airports. Hate toceCho a certain poster but that adds up.
 
Nola
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Re: IAG considering placing a bid for Norwegian

Fri May 04, 2018 4:57 pm

Would any other bidders emerge? AF-KLM/DL? LH?
 
Nami
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Re: IAG considering placing a bid for Norwegian

Mon May 07, 2018 7:04 pm

Norwegian's April traffic figures probably don't really make DY's negotiation position much stronger:

Passengers: 3.049.249 (+16%)
ASK: +51%
RPK: +44%
Load factor: 83.0% (-3.6 p.p.)

Yield: 0.35 (-16%)
RASK: 0.29 (-20%)

https://media.norwegian.com/uk/#/pressr ... il-2499964
 
NWADTWE16
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Re: IAG considering placing a bid for Norwegian

Mon May 07, 2018 7:19 pm

BA is fast becoming ULCC product IMO. How people still consider this carrier something special is beyond me, it's like a big joke, on the passengers
Long live Norwegian
I haven't been everywhere, but it's on my list!
 
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Jayafe
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Re: IAG considering placing a bid for Norwegian

Mon May 07, 2018 9:00 pm

NWADTWE16 wrote:
...Long live Norwegian


Don't hold your breathe...
 
HI442ct
Posts: 34
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Re: IAG considering placing a bid for Norwegian

Mon May 07, 2018 9:46 pm

Jayafe wrote:
NWADTWE16 wrote:
...Long live Norwegian


Don't hold your breathe...

Please hold yours, don't understand the fascination you have with wishing an airline to go under?, is it because they operate Boeing for now, please tell us how Norwegian is harming you so badly? Thought this was an aviation ENTHUSIAST site.
Worked with
B707/727/737/747/757/767
DC8/DC10/MD11/MD80/
A300/L1011/A320/ATR42
 
RexBanner
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Re: IAG considering placing a bid for Norwegian

Thu May 10, 2018 5:03 pm

Maybe because they’re an unprofitable business muscling in on routes where there is already an overcapacity and undercutting the established operators and, in the process, putting pressure on the Ts and Cs of the staff at those legacy airlines in order for them to compete. How would you feel if someone came along and said they could do your job for less, below cost, putting your mortgage at risk? Would you be such an aviation enthusiast about it then?
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