Story ID: GPbmilogan09022015
BMI Regional, Loganair To ‘Rationalize’ Operations
By: Gregory Polek
Caption: Headquarters consolidation, relocation of maintenance facility among changes proposed by new parent company
Word Count: 378
Newly formed UK regional airline group Airline Investments Limited (AIL) on Wednesday proposed the relocation of BMI Regional’s engineering facilities to Bristol, the origin of the majority of its routes. BMI Regional also plans to consolidate its headquarters under one location at East Midlands Airport in Leicestershire “to enhance its UK presence.”

AIL proposes to acquire hangar space at Bristol Airport for BMI regional jets. Fellow group member Loganair would take over the current BMI Regional hangar at Aberdeen Airport for its fleet “to underpin the sustainable development of both carriers within their core home markets.”

“These proposed changes within the group enhance both sister airlines and offer natural efficiencies and economies of scale that will strengthen both carriers within their home markets,” said AIL Group CEO Peter Simpson. “They provide additional infrastructure to continue delivering the highest operational standards.” 

Simpson noted that Bristol Airport has invested £120 million in expansion over the past five years, offering BMI Regional needed capacity for future growth.

“By dedicating hangar space and expanding other services there, and by dedicating hangar space to Loganair in Aberdeen, we will continue to maximize growth opportunities and strengthen our presence in established markets,” he noted.

BMI Regional has launched three new routes out of Bristol this year, including Paris Charles de Gaulle, Dusseldorf and Nantes. In 2012, the airline based no crew at Bristol Airport but announced staff figures of 80 in 2014 and a plan to increase that number by 30 percent. “The engineering facilities move is a natural step for the airline,” said Simpson.

Loganair, meanwhile, has expanded its aircraft presence at Aberdeen, requiring “appropriate” new infrastructure to ensure operational reliability for the expanded operations. Wednesday’s announcement will not affect Loganair staff, routes or frequency, noted Simpson.

However, Simpson could not promise the same for BMI Regional’s Aberdeen staff. “All options will be explored through consultation to minimize impact on positions, but it is possible that an estimated 80 Aberdeen-based roles may be affected as a result of the proposals outlined today,” he said. “The BMI pilot and cabin crew base at Aberdeen, together with the scheduled service’s to Bristol, Norwich, Oslo and Esbjerg are unaffected by this announcement.”