Flybe, regional UK airline, found in the 1970’s, is again in financial troubles after being bailed out a year ago by Virgin Atlantic, Stobart Air, and Cyrus Capital.
The airline is trying to secure additional capital to continue operations. Flybe operates more than half of the domestic UK flights outside of London and has close to 200 routes in the UK and Europe.
Here’s an excerpt from BBC (access their piece here):
Flybe, the UK’s biggest regional carrier, added: “We don’t comment on rumour or speculation.”
The reports come a year after Flybe was brought for £2.8m by a consortium including Virgin Atlantic and Stobart Group.
Since then, the consortium has invested tens of millions of pounds in the troubled carrier, but losses have continued to mount.
And here from the Financial Times (access their piece here):
Flybe said its operations were continuing as normal after reports that it was in last-ditch talks to stave off collapse less than a year after it escaped insolvency.
Europe’s largest regional airline issued a statement early on Monday after Sky News reported it was in discussions to secure extra financing amid mounting losses, with accounting firm EY on standby to handle the potential administration of the group.
It has not been great times for regional and smaller airlines in Europe that have collapsed in recent years, including two UK based airlines Monarch and Thomas Cook.
Let’s hope that the consortia behind the last Flybe rescue can come up with some fresh funds to keep the airline flying while trying to resolve its profitability issues.