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British Airways is based at London Heathrow Airport in London, England. It also has a commanding presence at Gatwick. British Airways has succeeded in dominating Heathrow to the point that the airport is commonly referred to as Fortress Heathrow within both the airline and its competitors.
As an incumbent airline, British Airways had grandfather rights to around 36% of takeoff and landing slots at Heathrow, many of which are used for the lucrative trans-Atlantic market. Some competitors, such as Virgin Atlantic, bmi British Midland and United Airlines, assert that this stifles competition and some political think tanks recommend an auction of slots. In recent years British Airways has been buying slots from other airlines including United Airlines, SN Brussels and Swiss International Air Lines, and now owns about 40% of slots at Heathrow Since the distances involved are so small, internal flights are not the most obvious choice for getting around Britain. However, with several regional airports - including Birmingham, Bristol, Manchester, Glasgow and Edinburgh - well served by low-cost airlines - flights can be a cost-effective as well as time-saving way of travelling. You can fly to Scotland's main airports - Edinburgh, Glasgow and Aberdeen - in an hour or so from London, as well as from various provincial airports. There's usually a confusingly wide range of fares. The best deals are special-offer tickets , sold at least three days in advance on specific flights; these tend to fly at less social hours and are subject to availability and certain restrictions, but the savings can make the extra effort well worthwhile. The next cheapest seats are Apex tickets, available on all flights, at about half the price of a full-price economy-class ticket. The full amount for Apex must be paid at least two weeks before departure, and only half of the price will be returned if the booking is cancelled. Anyone under 26 should also check out a specialist agency such as Campus Travel or STA Travel, as they offer special youth deals, including Domestic Air Passes (aka "Skytrekker Passes") on British Airways flights, which can get you to Inverness and the Hebrides for a fraction of the published fare. We've listed addresses for discount agents. As a broad guide to what you're likely to pay, reckon on £30 for a rock-bottom one-way ticket from Luton or Stansted to Edinburgh or Glasgow with Easyjet or Go. Full return fares for British Airways, bmi/British Midland or KLM, the three main carriers, start at around £100, rising to more than double that for the most flexible tickets; Apex rates and reductions for young persons and students apply in most cases. Note, too, that airport tax is levied on all domestic flights to Scotland. BA also flies from Cardiff to Glasgow, Edinburgh and London for around £100 return, and to Aberdeen for £140 return British Airways was formed in 1973 from the merger of the state owned British Overseas Airways Corporation and British European Airways (BEA). During the fiscal year ending 2002, British Airways carried 40 million passengers on revenues exceeding GBP 8 billion. The flag carrier was privatised and floated on the London Stock Exchange in 1987 by the Conservative government of Mrs. Thatcher. During the 1990s British Airways became the world's most profitable airline and trumpeted the slogan "The World's Favourite Airline." In 1992 Deutsche BA was established as a subsidiary operating in Germany. By the time it was sold in June 2003 DBA was operating 16 Boeing 737s and was the second largest German domestic carrier after Lufthansa. In 1995 British Airways formed British Asia Airways, a subsidiary based in Taiwan. British Asia Airways was set up due to political sensitivities, the Union Jack tailfin replaced by Chinese characters. Many airlines followed the same practice, e.g. Qantas flew as "Australia Asia Airways" and KLM's operations became "KLM Asia". In 1996 British Airways, with its newly appointed Chief Executive Bob Ayling, entered a period of turbulence. Increased competition, high oil prices and a strong pound hurt profits. British Airways management and trade unions clashed and the resulting disruption cost the company hundreds of millions of pounds. In 1997 Ayling dropped BA's traditional Union Flag tailfin livery in favour of world design tailfins, in an effort to change its image from a strictly British and aloof carrier to a more cosmopolitan airline. The move was not a success and Ayling slowed the process, eventually declaring the fleet would sport a dual livery; half a Union flag design, half the world art tailfins. Ayling devoted a lot of time pursuing a merger with American Airlines however this was ultimately unsuccessful due to the conditions placed on the deal by regulatory authorities, the most painful of which was the sacrificing of landing slots at Heathrow. Positive news during this time was cost savings of £750m and the establishment of the successful, but highly subsidised, Go Fly in 1998. Go was a low-cost carrier intended to compete in the rapidly emerging "no-frills" segment. After four years of successful operations, the airline was sold off and merged with easyJet. Another efficiency sought by Ayling was the reduction of capacity, cancelling 747-400 orders in favour of the 777 and rationalising British Airways' short-haul fleet with an order for the efficient A319/A320/A321 family. In 1999 British Airways reported a 50% slump in profits, its worst since privitisation. In March 2000 Bob Ayling was removed from his postion. British Airways announced Rod Eddington as his successor in May. Eddington set about cutting the workforce further, dramatically so after the slump caused by the September 11th attacks in 2001. In May 2001 Eddington announced the return of the Union Flag to the entire fleet, reversing his predecessor's rebranding exercise. British Airways |
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