Friday 6 October 2017

Monarch: The sad demise of a great airline.



Monarch: The sad demise of a great airline.

Four Reasons why Monarch failed(according to the BBC):-

Yet again the BBC seeks to have a go at Brexit again, listing the dollar pound ratio as number one for the sad demise of Monarch Airlines. If one reads the article this should be number four on the list. Because the dollar - pound ratio has affected all UK airlines.


More significant is item No.3 - Greybull moving away Monarch from long haul to short hall, right into the teeth of the opposition; Rynair, EasyJet and Whizz etc. One simply cannot copy established competitors thinking it is possible to do the job better. Just look at the passenger numbers from 2015. IMHO, Greybull took a decision, possibly because of the problems in Tunisia, Sharm el Sheik etc

Which also affected the competitors. They realised the mistake too late.

Monarch had a 45 airliner order with Boeing, neither Greybull or Boeing will want to lose their investments.

Could Monarch rise again like a Phoenix from the ashes ? Or are the markets full with capacity already ?

"As soon as the money men think of planes, common sense takes flight."

Is the headline from the City Editor, Jim Armitage of the Evening Standard.
He argues that Greybull was dazzled by the airline business and pumped money into a losing situation. Perhaps to an extent that is true, but there are other factors. Trying to compete with the EasyJets and Ryanairs of this world, was always going to be near impossible, British Airways, Air France etc, have been finding it rather difficult themselves. 
It was all down to finding a different model, this takes someone special, someone with a great knowledge of aviation and the tourist business in general. That is why I agree with Jim Armitage's headline.
Something in a similar way happened to me in 1987. I met a young high level financier, an American working for Pacific Investments or some such name like that. He told me confidently that he was financing a new airline, that was to fly from Glasgow and Edinburgh to some Baltic states. "What aircraft will you use?" I enquired.
"A Bae 748." He replied.
"What ! That can only fly at 200 knots with a tailwind and flies at about 10,000 feet. Slow and bumpy all the way!" I was shocked.
"We got a great deal from Bae." He arrogantly asserted, looking down at me. I was not a whizz-kid financer. I sent him a few options for suitable aircraft. It was ignored.
Six weeks later the airline failed.

The government claims there is not a crisis in aviation?

Well......

Air Berlin is insolvent.

Alitalia is insolvent.

Only the EU system allows Air Berlin and Alitalia to continue to fly.

Ryanair cancels many flights, allegedly because of a problem with crew annual leave.

British Airways has two computer crashes.



Crisis, what crisis ?





Airlines: Willie Walsh & Sir Tim Clark interviewed.


Airlines: Willie Walsh & Sir Tim Clark, interviewed.


Last year I attended a question and answer session at the World Travel Market.

It involved Willie Walsh, CEO of IAG, which includes British Airways and Sir Tim Clark President of Emirates Airlines.

Quite a bit has happened since November 2016. British Airways have had two computer crashes, greatly upsetting their passengers. Also, a couple of strikes and it is not clear whether the cabin staff issues have been resolved.

We have lost Monarch Airlines, a sad loss, it was a great airline.

Emirates have continued…….

Willie Walsh considered that alliances will be coming to an end, ‘One World’ , ‘StarAlliance’ etc. Quite likely there would be mergers instead.

The introduction into the market of low cost long haul airlines might well shake things up. These include Norwegian and Scoot etc.

Willie Walsh thought that business models were changing and a label means nothing. Aer Lingus which is now part of IAG, makes a profit on the Atlantic with low cost fares.

However Norwegian runs on small margins, of course, pay for most things on top of the original fare.  

Michael O’Leary at Ryanair is also looking at short haul.

Tim Clark of Emirates claimed that he had had a difficult year, as there has been a slow down in Africa and South America.

There is a lot of capacity out there, China will continue to be busy. Willie Walsh continued that they had a good year and for him the industry is getting better. Would he say that now ?

They both agreed that Air France and KLM may have difficulties as they tend to be resistant to change. In other words, they don’t intend to take the cheap route, - yet ? Running on commercial lines as against political ones was seen as being essential. Was there a hint there ? On purpose ? Willie Walsh claimed he had a better cost base than Air France, was that a reference on the difference between UK and EU practices ? On the other hand KLM has always had strong leadership. A indication that they would adapt and survive.

America would always be a big market even with a strong dollar. Three hundred and thirty million people help. They both agreed that the US carriers were making phenomenal profits. 

Sir Tim Clark would really like an upgrade of the Airbus A380, his main aircraft. Newer engines and a fuselage stretch, Airbus do not want to know apparently.

With regard to the Third runway at Heathrow, Willie Walsh thought a cost of £800 million for a multi-storey car park, totally excessive. That might be £17,000 per space, ridiculous he thought. I don’t doubt he is right. They both made the point about costs, ignore that and one will be in trouble. Terminal 5 was way to expensive to build !

There was no doubt they both considered costs too important to be taken for granted. The only problem, is, that conflicts and politics around the world have a major impact.

From Autumn 2017, it can be seen that Tunisia, Egypt and Turkey and their problems are already hitting some airlines hard. Witness the demise of Monarch Airlines in the UK, they regularly flew to these destinations. Now everybody tries to squeeze into the same markets.

The author would like to be positive……..but ?

Willie Walsh


Sir Tim Clark & Willie Walsh at the interview

Thursday 27 July 2017

My return to Lisbon


                                         Mosteiro Dos Jeronimos

I have not been to Lisbon since 1993. Therefore, I was full of expectation about my recent trip. During 24 years Lisbon has changed, which it is bound to. Euroland has seeped into the culture. It is not as ‘Portuguese’ as I remember, but it is still a great place.

The main difference is the amount of tourists that have discovered Lisbon. I certainly do not remember a long queue outside the Mosteiro Dos Jeronimos, the main church is still free to get in and there is no queue. Well worth a visit. Vasco da Gama and the poet Camoes are buried there. I remember the wonderful Sintra as being a quiet haven. Now it is full of tourists, some days they are overbearing. I had my traditional brandy and coffee in the Hotel Bristol. I struck up a conversation with a nice Portuguese lady behind the bar who spoke fluent English. I said I was shocked by the large numbers of tourists there. She said I should have come on a busy day !

Below I have created a mini guide, the traditional guides have a lot of information, but where does one start?

Lisboa

(1) Tram No. 28   this is a good way to have a cheap look at the city. It will take you to most places on its route. It will be covered by the Lisbon travel card. Pick the point where you get on it and the time, it can get busy in peak season.

(2) Sintra A maze of winding streets and things to see. Palacio Nacional de Sintra( looks like a couple of cooling towers). Museum of Sintra arts. Parque da Pena, a big park that surrounds the Palacio da Pena. Castello do Mouras(Moors Castle) great views from the castle walls. Quijadas da Sintra – cheese tarts spiced with cinnamon, famous. There is quite a bit to see in Sintra. Twenty-five years ago it was quiet, now it has suffered a tourist infestation. It is still worth a visit but be careful of restaurant touts.

(3) Stations: Rossio to Sintra(takes about 40 minutes) Rossio and the Metro Restauradores is your first hub. From there you can walk to the Praca do Comercio(watch your bag ! there is petty theft). Jump on a tram(Electrico) or walk to the Cais do Sodre. This is your second hub. From there you can get a tram(Electrico) or train to Belem. The Metro is the best way to get around.

(4) *Belem* one of my favourite places. The *Mosteiro Dos Jeronimos* is spectacular. The Botanical Gardens are also worth a visit. Not far from Mosteiro Dos Jeronimos is the *Monument to the Discoveries* and the *Torre do Belem*(Belem Tower) both are a must see. Belem is the home of the famous custard tart; Pastais da Nata. Return to hub 2 Cais do Sodre(train or tram).

(5) *Cais do Sodre* Trains to Cascais(seaside !) A ferry to *Almada* for the best and cheapest fish restaurants. Have a plate of Caracois(snails) with your beer. There are some good restaurants in and around Cais do Sodre. Especially the Churrasqueira, grilled chicken. Since about 2014 ‘Time Out’ has taken over an old market and converted it into the ‘Mercado da Ribeira’. A food hall with many restaurants, bars and cafes surrounding an open area of wooden tables and seats. Quite an eclectic variety of food is offered. It is a bit like Covent Garden in a way and attracts a similar amount of tourists. Modern International Lisboa.

(6) *Rua Garrett* I used take a tram up the hill(Rua do Alecrim), the trams no longer follow this route, I walked ! This this road then becomes Rua Miseracordia, there on the right is Rua Garrett. In this street is the ‘A Brasileira’ coffee shop. Outside on a bench is a bronze statue of Fernando Pessoa, the famous writer and poet. Go in for a coffee, that is where he wrote ! Be careful of the tourist prices. On the left is the Chiado area. Another tourist trap, interesting, but compare the food prices. CafĂ© Brasileira charged me 6 euros for a glass of Bagaco, it is cheaper than water !

(7) Elvador da Santa Justa From Rua Garrett it is a short walk to the Elvador da Santa Justa. Passing the Igreja(Church) do Carmo on the way. An interesting structure built by a student of Eiffel.

(8) *Castelo Sao Jorge* not far from the interesting lift is the castle on the hill, where great views of Lisbon can be seen. In the distance one can see the Cristo Rei, statue of Christ. Similar to the famous statue in Rio de Janeiro. You will notice the statue on the way to Belem. Below and around Castelo Sao Jorge is the *Alfama*. Old narrow streets full of history.

(9) Gulbenkian Museum Further out, it can be got to by the Metro. Praca de Espanha station. An excellent museum.



I have tried to keep this travel direction as simple as possible. There is so much to see in Lisbon. If you focus on the two hubs of Rossio and Cais do Sodre, you will not go far wrong. The Metro and tram system are very useful. Cascais is a nice place to visit although a bit touristy, you will pass through the Casino resort of Estoril. If you don’t want to walk, there is plenty of public transport. I haven’t recommended any restaurants, as many of the small family run businesses are really very good. Just notice how popular they are.

I have put a star against the must see places.
                                                          Monument to the Discoveries

                                                             The Church in Jeronimos

                                                                         Altar




                                                        The tomb of Vasco da Gama


                                                         National Palace of Sintra  


                              Spectacular Art Deco Eden Theatre, Praca dos Restauradores

                                                           Typical Lisbon Post Box


 





A trip from London to Stratford-upon-Avon via Oxford and Burton-on-Water







First stop Oxford !

I took a tour to Stratford upon Avon. It went via Oxford and Burton-on-Water to the destination, Shakespeare’s birthplace.

We set out from Earl’s Court and our guide humorously commented that Earl’s Court was no longer referred to as ‘Kangaroo Valley’, the Antipodean presence had long gone to be replaced by a Middle Eastern fraternity. Well-heeled I might add.

Our London route took us through Shepherds Bush, past the huge Westfield shopping complex, owned by an Australian Corporation, perhaps they have not left the area after all ? The name Shepherds Bush derived from the area being used to graze sheep 150 years ago. Heading out of London we passed Vanguard Storage Company who have put a Dr Who Police Box(Tardis) on their roof. In the past they have put a Hawker Hunter fighter aircraft and a tank up there ! How they got a tank on the roof is not clear.

Continuing along the Western Avenue(A40) the incredible Art Deco Hoover Building came into our sights, it is now a Tesco Superstore. Further on we pass Northolt Airfield, still owned by the RAF, it now contains quite a number of business jets. A Battle of Britain airfield in World War II it was the home of a Polish Fighter Squadron and has a monument to commemorate their brave deeds. Sadly, it was also the airport where the body of Princess Diana was brought back from Paris in 1997.

Travelling the M40 through Buckinghamshire and Oxfordshire, we pass fields of bright yellow Rapeseed Kanola. At last, an early arrival in Oxford.

Oxford has the oldest English-speaking university in the world, older than Cambridge. Scholars came in the 12th Century, academics in the 13th. There is a great rivalry with Cambridge. Graduates from both universities are usually referred to as Oxbridge. There are about 20,000 students in Oxford with 38 colleges forming the collegiate. A calm area with monasteries, who had the literature. The monks had the knowledge. The colleges were built to monastic standards and known as Quads. Twenty-six British Prime Ministers have come from Oxford. There is an exam entry and 1 in 5 get there from applications.

A superb museum in Oxford is the Old Ashmolean(Museum of History and Science). It is referred to as the Old Ashmolean to distinguish it from the newer Ashmolean Museum. The Museum of History and Science contains Einstein’s Blackboard. Where on 16th May 1931, Albert Einstein demonstrated his General Theory of Relativity.

The buildings are predominantly Lime Stone. Here derives the ‘old school network system’ yet there is rivalry, Trinity vs Baliol etc. Roger Bannister went to Exeter College, while there he famously ran the first four-minute mile. Whether it is Christchurch College, which was the model for Hogwarts in the Harry Potter stories. Jesus College, where T. E Lawrence(of Arabia) went. Braised Nose where Prime Ministers allegedly received an education. The Bridge of Sighs or the pub where Bill Clinton tried to drink a ‘Yard of  Ale’. Oxford has many attractions. Take a look at the Radcliffe Camera and I am not talking photography but a classic building. The two and a half hours we were allocated before we left for our next destination was not enough. I believe it would be better to spend the whole day there and at least look around without a rush.


Burton-on-Water, is where we lunched, sort of a lunch hour. The small town dates back to Saxon times. Made from Cotswold Stone it was built around the wool trade and now is picturesque, standing amongst streams. A good place to stop off and relax.

The next part of the journey we move away from Cotswold Stone to the red brick of Warwickshire, Shakespeare country. Finally, we arrive in Stratford-upon-Avon. Avon is the Celtic word for river, Strat means river, ford means a crossing. Entering the town is an area dominated by an area that consists of the Royal Shakespeare Theatre, the Avon river and the surrounding gardens. You may enter Stratford via the Clopton Bridge that has the Tramway foot bridge running alongside it. All of Stratford is walkable, as much is centralised. Sheep Street contains a number of good restaurants. Along a street called Waterside, opposite Bancroft Gardens, there is even a Carluccios restaurant.  At the corner of Sheep Street and Waterside there is a particularly good genuine English Fish-n-Chip restaurant called Barnabys, worth a visit. If you want a cheaper alternative for food and drink, there is a Wetherspoon pub called the Golden Bee, again on Sheep Street, the beer is very reasonably priced and excellent. To find the Shakespeare Centre and Shakespeare’s birthplace one must head for Henley Street, a short walk away. The influence of Tudor buildings is apparent. Henley Street has a local library where the staff are particularly helpful. Back to the Royal Shakespeare Theatre which is on Waterside, that becomes Southern Lane further on, one will find the Swan Theatre, which is a must visit, it is next door to the Royal Shakespeare Theatre. The whole area of Bancroft Gardens is very pleasant with students and tourists enjoying the take-away Fish-n-Chips from the restaurant I mentioned earlier.

If you want to visit Shakespeare’s family home. Anne Hathaway’s Cottage is about a mile West of the centre of town. The spectre of Shakespeare casts its magic over the whole of Stratford. Shakespeare is an interesting point in itself. We attribute that wonderful body of work, 40 plays plus Sonnets and poems to the name Shakespeare. Yet his story is far from that simple, he was from a reasonably well-off family. Shakespeare enjoyed visiting taverns, what we refer to as pubs now. In fact, he did spend a lot of time in them. Whether or not he collaborated with other writers is only speculated. Whomever wrote his plays, knew much about Elizabethan Court life, if one attended court, writing about it was forbidden, a pen name would be needed. Shakespeare’s plays contained great knowledge of Italy and other such places. They also reflect a scholar of the highest attainment, definitely a university man. There is the mystery, a sometime actor and frequent tavern visitor with a basic schooling, writing the most incredible words in the English language? I have posed the question, I will let you do the investigating.

As with Oxford, two and a bit hours is not enough time for Stratford-upon-Avon. I enjoyed Stratford more than Oxford, it was relaxing, interesting and when it became time to leave I felt disappointment. Obviously, one is a city the other is a cultural town with Tudor history. Both are certainly worth a visit but both must be given time to really enjoy. I had a taster, not to missed but I need to return. You will too.











The uncertain route of European Airlines




European Airlines :

Recently I took a trip to Lisbon. I flew TAP of Portugal. The outbound leg was OK, as much as OK could be on a 6am flight.

The return leg, oh dear….

I entered the Airbus A320 and announced to the waiting cabin crew that I was on the ‘Starboard’ side. After repeating myself to blank stares and an “Excuse me?”

I told them that they had better ask their captain what ‘Starboard’ means ?

Unimpressed I made my way to my seat. The aircraft was over an hour late with the usual excuse of, ”Due to the late arrival of the inbound aircraft……blah blah blah.”

I asked one of the crew for a second wine, the look of shock on the face would have been the same if I had asked for the Crown Jewels or something similar. I did get my second wine…eventually. The bread role they provided as some sort of food had a smear of something unidentifiable with bits of green in it, a thin smear of whatever it was. It reminded me of 1960s margarine.



From September TAP will be charging 80 euros to put baggage in the hold, instead of the current 20 euros. Also, they will be charging for food and drink. The cabin crew seemed pretty surly as well, very un-Portuguese.

My last flight with TAP was 25 years ago, a totally different experience, they couldn’t do enough for you. Big smiles and attention all round. Apparently in 1974 they were one of the best airlines in the world. Then came a little revolution. Still in 1992/3 I still thought they were pretty good.

Over the past two years there has been a seesaw battle between employees, the new Left-Wing Government and the new owners, The Atlantic Gateway Consortium. Originally Atlantic Gateway owned 61% and the Government 34%, with 5% owned by employees etc. Apparently, now the Government has a 50% stake.

American/Brasilian David Neeleman is one of the owners of Atlantic Gateway, he has claimed that he likes to sit at the back of the aircraft of one of his airlines, to experience and know what the service is like, then improve it if necessary. Obviously, he no longer has any input to TAP?

What is/has happened to TAP has happened pretty much across the board in Europe. A Ryanair, Whizzair or easyJet experience from most airlines.

British Airways now serve Marks & Spencer sandwiches at a cost of twice as much in the M & S in Terminal 5. All very well but they often run out of food on the outbound leg, including some of the drinks, the crew obviously on the receiving end of some very unhappy passengers, or should that be customers? Run out of food, then go on strike. Then have a computer crash with BA passengers saying “Never again!” What a way to run a railway, or airline, or whatever.

easyJet do a nice line in getting out the micrometer to measure your hand-baggage, it’s too big sir, it will have to go in the hold, that will be £XX’s extra ! This is called a stealth tax, they are all doing it. Why cannot they charge a realistic price for the ticket, give a good service and be done with it. Oh no, that is not the style these days.

On receiving his brand new Boeing B787-9’s. Sir Richard Branson was asked by his accountants to remove the bar, “We can get another five seats in there !”

Sir Richard said, ”The bar stays, I am not about bean-counting, I am about the flight experience!”

Good on you Sir Richard. I have had some very good reports about Virgin Atlantic.

For the last twenty years I have been used to flying, EVA, Etihad, Qatar, Thai etc. I have yet to fly Emirates but I have heard they are pretty good as well. Singapore are superb I understand.

As for the cattle truck EU airlines ? OK if you can afford Business or First Class, otherwise, welcome to the sardine tin !

It's just a trend like any other trend. Monkey see, monkey do. At the moment the bean-counters are all copying Ryanair, Whizzair and easyJet.



How do airlines like Etihad, Virgin Atlantic, Qatar, Singapore etc. Motivate their staff to give a great service ?

It is a good question, but unfortunately, I do not have the answer.



Here is my pitch……..



I believe in bucking trends, not following them.

1) First make sure one has enthusiastic staff. Good on treating their source of employment......the customer.

2) Get some decent food and IFE. Branson has been very strong with IFE and always has.

3) Passengers are clueless about aircraft types but they do know about seat pitch and comfort.

4) Don't worry about charging more to cover these extra costs. People will pay extra for a good service. Word gets around.

5) Awful service on airlines is a major topic.

6) Get rid of the bean-counters.

7) Keep the passengers fully updated at all times. When BA had the computer problem last month. Their staff went into hiding !

Bad move !

Most of this is common sense. Sir Richard Branson knows nothing about aeroplanes but he employs people that do know about such things.



Skytrax is a web site that will give you an idea how the airlines compare.

It doesn’t take a stretch of the imagination to guess which ones are the best.









Recaro also do aircraft seats, they are usually hard to sit on. This company does decent seating:-