Thu, 05 Mar 2020 | ADMINISTRATION
UK airline Flybe has gone into administration after it failed to secure financial support amid impact on air travel demand from the coronavirus outbreak.
Alan Hudson, Joanne Robinson, Simon Edel and Lucy Winterborne of the restructuring team at EY have been appointed as joint administrators of the company, with their priorities to support employees and liaise with the Civil Aviation Authority (CAA) to advise customers.
Passengers are advised not to travel to their airport, unless they have booked alternative arrangements.
Flybe is headquarted in Essex and flies from many UK regional airports, operating almost 40 per cent of UK domestic flights. It is Europe’s largest independent regional airline, carrying around 8 million passengers per year from 81 airports in the UK and EU, operating 210 routes in 15 countries.
The company employed around 2,400 staff across the UK. According to its most recent accounts, for the year ending 31 March 2018, the group reported revenue of £752.6 million, with EBITDAR of £140 million and reported loss before tax of £9.4 million.
According to those accounts, the company held net assets worth £93.1 million, including property, plant, equipment and intangibles, as well as a fleet of 80 aircraft, of which 27 were owned and 53 held on operating lease.
Flybe is owned by Connect Airways, a consortium comprised of Cyrus Capital (40 per cent), Virgin Atlantic (30 per cent) and Stobart Group (30 per cent). The consortium received EU merger clearance to take control of Flybe’s assets in July 2019.
The new owners said they would invest £30 million to keep the business afloat in January of this year, but a proposed £100 million Government rescue deal was met with a backlash from rivals.
Joint administrator Alan Hudson said: "Despite an agreement with the government to provide assistance to the Company, added pressures on the travel industry in the last few weeks have further deepened the severity of its financial situation. Flybe had already been impacted by rising fuel costs, currency volatility, and market uncertainty."
This is a unique opportunity to acquire a well-established scaffolding supply business in Scotland, offering comprehensive services and working with blue-chip clients across various industries.
This company is a substantial independent funeral director, supporting its local community. Its key services include the arrangement and carrying out of burials and cremations and care of the deceased.
Explore an exciting opportunity to acquire a well-established company in the UK recruitment industry, boasting a robust turnover and a dedicated team.
Please choose your settings for this site below. For more information please read our Cookie Policy
These cookies are necessary for our website to function properly and provide you with access to all features.
These are analytics cookies that help us to improve the way our website works.
These are used to improve the functional performance of the website and make it easier for you to use.