British Midland Airways Limited (trading at various times throughout its history as British Midland, bmi British Midland, bmi or British Midland International)
was an airline with its head office in
Donington Hall
Donington Hall is a mansion house set in parkland near Castle Donington village, North West Leicestershire. The Hall and Estate was purchased in April 2021 by MotorSport Vision, which also operates the neighbouring Donington Park racing circu ...
in
Castle Donington
Castle Donington is a market town and civil parish in Leicestershire, England, on the edge of the National Forest and close to East Midlands Airport.
History
The name 'Donington' means 'farm/settlement connected with Dunna'. Another suggest ...
, close to
East Midlands Airport
East Midlands Airport is an international airport in the East Midlands of England, close to Castle Donington in northwestern Leicestershire, between Loughborough (), Derby () and Nottingham (); Leicester is () to the south and Lincoln () nort ...
, in the United Kingdom. The airline flew to destinations in Europe, the Middle East, Africa, North America and Central Asia from its operational base at
Heathrow Airport
Heathrow Airport (), called ''London Airport'' until 1966 and now known as London Heathrow , is a major international airport in London, England. It is the largest of the six international airports in the London airport system (the others be ...
, where at its peak it held about 13% of all
takeoff and landing slots and operated over 2,000 flights a week. BMI was a member of
Star Alliance
Star Alliance is the world's largest global airline alliance. Founded on 14 May 1997, its CEO is Jeffrey Goh and its headquarters is located in Frankfurt am Main, Germany. , Star Alliance is the largest of the three global alliances by passenger ...
from 1 July 2000 until 20 April 2012.
BMI was acquired from
Lufthansa
Deutsche Lufthansa AG (), commonly shortened to Lufthansa, is the flag carrier of Germany. When combined with its subsidiaries, it is the second- largest airline in Europe in terms of passengers carried. Lufthansa is one of the five founding m ...
by
International Airlines Group
International Consolidated Airlines Group S.A., trading as International Airlines Group and usually shortened to IAG, is an Anglo-Spanish multinational airline holding company with its registered office in Madrid, Spain, and its global headqua ...
(IAG) on 20 April 2012, and was integrated into
British Airways
British Airways (BA) is the flag carrier airline of the United Kingdom. It is headquartered in London
London is the capital and List of urban areas in the United Kingdom, largest city of England and the United Kingdom, with a populati ...
(BA) by 27 October 2012. BMI's subsidiaries
Bmibaby
Bmibaby Limited (styled as bmibaby.com) was a British low-cost airline that flew to destinations in the United Kingdom and Europe from its bases at Birmingham and East Midlands airports. It was a subsidiary of British Midland International, i ...
and
BMI Regional
Flybmi, styled as flybmi, legally British Midland Regional Limited and formerly branded as bmi Regional, was a British regional airline that operated scheduled passenger services across the UK and Europe. The head office of the airline was ...
were also purchased, although IAG did not wish to retain either.
BMI Regional was sold to Sector Aviation Holdings in May 2012 and operated under the "flybmi" brand until it went into administration on 16 February 2019, whereas Bmibaby closed down in September 2012.
British Midland Airways Limited held a
Civil Aviation Authority
A civil aviation authority (CAA) is a national or supranational statutory authority that oversees the regulation of civil aviation, including the maintenance of an aircraft register.
Role
Due to the inherent dangers in the use of flight vehicles, ...
(CAA) Type A Operating Licence, permitting it to carry passengers, cargo and mail on aircraft with 20 or more seats.
History
Origins
The airline dates back to 1938, when Captain Roy Harben established Air Schools Limited as a school for training pilots of the
Royal Air Force Volunteer Reserve
The Royal Air Force Volunteer Reserve (RAFVR) was established in 1936 to support the preparedness of the U.K. Royal Air Force in the event of another war. The Air Ministry intended it to form a supplement to the Royal Auxiliary Air Force (RAuxAF ...
. Captain Harben had been approached by the
Derby
Derby ( ) is a city and unitary authority area in Derbyshire, England. It lies on the banks of the River Derwent in the south of Derbyshire, which is in the East Midlands Region. It was traditionally the county town of Derbyshire. Derby gai ...
Corporation to run a new aerodrome under construction near
Burnaston
Burnaston is a village and civil parish in the South Derbyshire district of Derbyshire, England. It is about southwest of the city of Derby and has a population of 1,531. It contains the headquarters and vehicle manufacturing plant of Toyota ...
, which was planned to eventually become an airport. Sir
Kingsley Wood
Sir Howard Kingsley Wood (19 August 1881 – 21 September 1943) was a British Conservative politician. The son of a Wesleyan Methodist minister, he qualified as a solicitor, and successfully specialised in industrial insurance. He became a membe ...
, the
Secretary of State for Air
The Secretary of State for Air was a Secretary of State (United Kingdom), secretary of state position in the British government, which existed from 1919 to 1964. The person holding this position was in charge of the Air Ministry. The Secretar ...
, officially opened the aerodrome as
Derby Municipal Airport on 17 June 1939. Military flying training continued at the airport throughout the war.
![Canadair C](https://upload.wikimedia.org/wikipedia/commons/1/11/Canadair_C.4_G-ALHS_Derby_Aws_RWY_20.08.62_edited-2.jpg)
Air Schools Limited formed a parent company, Derby Aviation Limited, in 1946, and Harben died the following year of a heart attack. His wife remained the controlling shareholder of the business and asked E. W. Phillips, who had been involved in running the flying school with Captain Harben, to become the new managing director. The new parent company also incorporated Wolverhampton Aviation, based at
Pendeford
Pendeford is a suburb of Wolverhampton, West Midlands, England. Historically part of Staffordshire, it is situated north-north-west of the city centre, within the Oxley ward of Wolverhampton City Council. At the 2011 Census, the population of ...
, which offered ''ad hoc''
charter
A charter is the grant of authority or rights, stating that the granter formally recognizes the prerogative of the recipient to exercise the rights specified. It is implicit that the granter retains superiority (or sovereignty), and that the rec ...
and freight flights with
de Havilland Dragon Rapide
The de Havilland DH.89 Dragon Rapide is a 1930s short-haul biplane airliner developed and produced by British aircraft company de Havilland. Capable of accommodating 6–8 passengers, it proved an economical and durable craft, despite its rela ...
s, as well as aircraft maintenance and brokerage.
In 1953, Derby Aviation ceased flying training, following the award of a licence to operate scheduled flights from Burnaston and Wolverhampton to
Jersey
Jersey ( , ; nrf, Jèrri, label=Jèrriais ), officially the Bailiwick of Jersey (french: Bailliage de Jersey, links=no; Jèrriais: ), is an island country and self-governing Crown Dependencies, Crown Dependency near the coast of north-west F ...
. Flights in each direction were required to land at
Elmdon Airport in Birmingham to allow passengers to clear customs. The first flight was made on 18 July 1953, using a Dragon Rapide. The following year, Wolverhampton Aviation was merged into Derby Aviation, and, in 1955, the company purchased its first
Douglas DC-3
The Douglas DC-3 is a propeller-driven airliner
manufactured by Douglas Aircraft Company, which had a lasting effect on the airline industry in the 1930s to 1940s and World War II.
It was developed as a larger, improved 14-bed sleeper version ...
, a converted former military transport.
[
International services to ]Ostend
Ostend ( nl, Oostende, ; french: link=no, Ostende ; german: link=no, Ostende ; vls, Ostende) is a coastal city and municipality, located in the province of West Flanders in the Flemish Region of Belgium. It comprises the boroughs of Mariakerk ...
commenced in 1956, and flights carrying holidaymakers from the UK to mainland Europe began as well. The company was also contracted by Rolls-Royce
Rolls-Royce (always hyphenated) may refer to:
* Rolls-Royce Limited, a British manufacturer of cars and later aero engines, founded in 1906, now defunct
Automobiles
* Rolls-Royce Motor Cars, the current car manufacturing company incorporated in ...
to transport aero engines to customers all over the world. In 1959, Derby Aviation formed Derby Airways as its airline business and introduced a new livery
A livery is an identifying design, such as a uniform, ornament, symbol or insignia that designates ownership or affiliation, often found on an individual or vehicle. Livery will often have elements of the heraldry relating to the individual or ...
incorporating the new airline's name. Domestic scheduled flights within the United Kingdom began the same year.[
]
British Midland Airways
On 1 October 1964, after buying the Manchester Airport
Manchester Airport is an international airport in Ringway, Manchester, England, south-west of Manchester city centre. In 2019, it was the third busiest airport in the United Kingdom in terms of passenger numbers and the busiest of those n ...
-based scheduled and charter airline Mercury Airlines, the company changed its name to British Midland Airways (BMA) and moved operations from Burnaston to the recently opened East Midlands Airport
East Midlands Airport is an international airport in the East Midlands of England, close to Castle Donington in northwestern Leicestershire, between Loughborough (), Derby () and Nottingham (); Leicester is () to the south and Lincoln () nort ...
. The corporate colours of blue and white were adopted at that time, along with the first turboprop
A turboprop is a turbine engine that drives an aircraft propeller.
A turboprop consists of an intake, reduction gearbox, compressor, combustor, turbine, and a propelling nozzle. Air enters the intake and is compressed by the compressor. Fuel ...
aircraft, a Handley Page Dart Herald
The Handley Page Dart Herald is a 1950s British turboprop passenger aircraft.
Design and development
In the mid-1950s Handley Page developed a new fast short-range regional airliner, intended to replace the older Douglas DC-3, particularly in ...
.
Minster Assets, a London-based investment and banking group, acquired the airline in 1968, and in 1969 promoted former Mercury ground handling
In aviation, aircraft ground handling defines the servicing of an aircraft while it is on the ground and (usually) parked at a Gate (airport), terminal gate of an airport.
Overview
Many airlines subcontract ground handling to airports, han ...
manager Michael Bishop to become the company's general manager. From this point, Bishop drove the company forward, with domestic and European expansion continuing apace. As a first step, in November 1969, BMA took over Autair's Heathrow
Heathrow Airport (), called ''London Airport'' until 1966 and now known as London Heathrow , is a major international airport in London, England. It is the largest of the six international airports in the London airport system (the others bei ...
–Teesside
Teesside () is a built-up area around the River Tees in the north of England, split between County Durham and North Yorkshire. The name was initially used as a county borough in the North Riding of Yorkshire.
Historically a hub for heavy manu ...
route, which marked the airline's Heathrow debut.
In 1970, BMA entered the jet age
The Jet Age is a period in the history of aviation defined by the advent of aircraft powered by jet turbine engines, and by the social change this brought about.
Jet airliners were able to fly much higher, faster, and farther than older pisto ...
with the introduction of three new BAC One-Eleven 500s, followed by an ex-Pan Am
Pan American World Airways, originally founded as Pan American Airways and commonly known as Pan Am, was an American airline that was the principal and largest international air carrier and unofficial overseas flag carrier of the United States ...
Boeing 707-321 in 1971. The former had been intended to be primarily used on European inclusive tour
A package tour, package vacation, or package holiday comprises transport and accommodation advertised and sold together by a vendor known as a tour operator. Other services may be provided such as a rental car, activities or outings during the ho ...
(IT) charters while the latter was to be mainly used on transatlantic "affinity group" charters. Also in 1970, BMA became the first British airline independent from government-owned corporation
A state-owned enterprise (SOE) is a government entity which is established or nationalised by the ''national government'' or ''provincial government'' by an executive order or an act of legislation in order to earn profit for the governmen ...
s to employ UK-based, non-White cabin crew.
Following his appointment as managing director in 1972, Bishop withdrew the One-Elevens from service, two of which were swapped for three Handley Page Dart Heralds while the third was subsequently lease
A lease is a contractual arrangement calling for the user (referred to as the ''lessee'') to pay the owner (referred to as the ''lessor'') for the use of an asset. Property, buildings and vehicles are common assets that are leased. Industrial ...
d to Court Line
Court Line was a 20th-century British tramp shipping company that was founded in 1905. In the 1960s it diversified into shipbuilding and charter aviation. Its merchant shipping interests were based in London. Its shipyards were at Appledore in ...
. As the early-model, high-time second-hand 707s commanded a low resale value, the airline decided to keep these aircraft and lease them out to other airlines on a wet lease
Aircraft leases are leases used by airlines and other aircraft operators. Airlines lease aircraft from other airlines or leasing companies for two main reasons: to operate aircraft without the financial burden of buying them, and to provide tempora ...
basis, beginning in November 1972 with a £3.3 million, two-year contract to operate Sudan Airways
Sudan Airways ( ar, الخطوط الجوية السودانية) is the national airline of Sudan, headquartered in Khartoum. Since 2012, the company has been fully owned by the Government of Sudan.
One of the oldest African carriers, it was ...
' ''Blue Nile'' service between Khartoum
Khartoum or Khartum ( ; ar, الخرطوم, Al-Khurṭūm, din, Kaartuɔ̈m) is the capital of Sudan. With a population of 5,274,321, its metropolitan area is the largest in Sudan. It is located at the confluence of the White Nile, flowing n ...
and London. The decision to pull out of both the IT and "affinity group" markets was taken to reverse heavy losses BMA had incurred on these charter operations due to its lack of scale and lack of vertical integration
In microeconomics, management and international political economy, vertical integration is a term that describes the arrangement in which the supply chain of a company is integrated and owned by that company. Usually each member of the suppl ...
with a tour operator
A tour operator is a business that typically combines and organizes accommodations, meals, sightseeing and transportation components, in order to create a package tour. They advertise and produce brochures to promote their products, holidays and ...
, which put it at a commercial disadvantage vis-à-vis the competition, as well as uneconomical charter rates as a result of overcapacity. This resulted in BMA concentrating on regional, short-haul scheduled services and ''ad hoc'' charters using turboprops such as the Herald
A herald, or a herald of arms, is an officer of arms, ranking between pursuivant and king of arms. The title is commonly applied more broadly to all officers of arms.
Heralds were originally messengers sent by monarchs or noblemen to ...
and Viscount
A viscount ( , for male) or viscountess (, for female) is a title used in certain European countries for a noble of varying status.
In many countries a viscount, and its historical equivalents, was a non-hereditary, administrative or judicial ...
as these were more economical than contemporary jets on short, thin routes. The success of the airline's wet lease operation resulted in an increase in the number of Boeing 707
The Boeing 707 is an American, long-range, narrow-body airliner, the first jetliner developed and produced by Boeing Commercial Airplanes.
Developed from the Boeing 367-80 prototype first flown in 1954, the initial first flew on December 20, ...
s allocated to this activity, including the addition of several later model 707-320B and -320C aircraft from 1976. All of these were leased to other operators, with none operating for BMA on scheduled or charter services until 1981.
On 1 November 1974, BMA began operating between London Gatwick
Gatwick Airport (), also known as London Gatwick , is a major international airport near Crawley, West Sussex, England, south of Central London. In 2021, Gatwick was the third-busiest airport by total passenger traffic in the UK, after Hea ...
and Belfast
Belfast ( , ; from ga, Béal Feirste , meaning 'mouth of the sand-bank ford') is the capital and largest city of Northern Ireland, standing on the banks of the River Lagan on the east coast. It is the 12th-largest city in the United Kingdo ...
, where it replaced the service previously operated by British Caledonian
British Caledonian (BCal) was a British private independent airline which operated out of Gatwick Airport in south-east England during the 1970s and 1980s. It was created as an alternative to the British government-controlled corporation airlin ...
. London–Belfast was BMA's first UK domestic trunk route and the first all-year round route it served in ndirectcompetition with British Airways
British Airways (BA) is the flag carrier airline of the United Kingdom. It is headquartered in London
London is the capital and List of urban areas in the United Kingdom, largest city of England and the United Kingdom, with a populati ...
(BA). BMA's Gatwick
Gatwick Airport (), also known as London Gatwick , is a major international airport near Crawley, West Sussex, England, south of Central London. In 2021, Gatwick was the third-busiest airport by total passenger traffic in the UK, after H ...
debut also made it the only airline at the time to operate scheduled services from all five contemporary London airports – Gatwick, Heathrow, Luton
Luton () is a town and unitary authority with borough status, in Bedfordshire, England. At the 2011 census, the Luton built-up area subdivision had a population of 211,228 and its built-up area, including the adjacent towns of Dunstable an ...
, Southend
Southend-on-Sea (), commonly referred to as Southend (), is a coastal city and unitary authority area with borough status in southeastern Essex, England. It lies on the north side of the Thames Estuary, east of central London. It is bordered ...
and Stansted
London Stansted Airport is a tertiary international airport serving London, England, United Kingdom. It is located near Stansted Mountfitchet, Essex, England, northeast of Central London.
London Stansted serves over 160 destinations acro ...
.
In January 1975, an agreement was reached for BMA to provide two Vickers Viscount
The Vickers Viscount is a British medium-range turboprop airliner first flown in 1948 by Vickers-Armstrongs. A design requirement from the Brabazon Committee, it entered service in 1953 and was the first turboprop-powered airliner.
The Visc ...
s in Cyprus Airways
Cyprus Airways (Greek: Κυπριακές Αερογραμμές) is the flag carrier airline of Cyprus, based at Larnaca International Airport. It commenced operations on 1 June 2017.
History
Cyprus Airways resumed operations in 2016 after win ...
livery to link Athens
Athens ( ; el, Αθήνα, Athína ; grc, Ἀθῆναι, Athênai (pl.) ) is both the capital and largest city of Greece. With a population close to four million, it is also the seventh largest city in the European Union. Athens dominates ...
with Cyprus
Cyprus ; tr, Kıbrıs (), officially the Republic of Cyprus,, , lit: Republic of Cyprus is an island country located south of the Anatolian Peninsula in the eastern Mediterranean Sea. Its continental position is disputed; while it is geo ...
. A former WWII airfield at Larnaca
Larnaca ( el, Λάρνακα ; tr, Larnaka) is a city on the south east coast of Cyprus and the capital of the district of the same name. It is the third-largest city in the country, after Nicosia and Limassol, with a metro population of 144 ...
was selected to serve the south of the island, following the Turkish invasion of Cyprus
The Turkish invasion of Cyprus began on 20 July 1974 and progressed in two phases over the following month. Taking place upon a background of Cypriot intercommunal violence, intercommunal violence between Greek Cypriots, Greek and Turkish ...
in 1974. The first flights departed Larnaca on 10 February 1975. On 4 April 1975, the ''Daily Mail
The ''Daily Mail'' is a British daily middle-market tabloid newspaper and news websitePeter Wilb"Paul Dacre of the Daily Mail: The man who hates liberal Britain", ''New Statesman'', 19 December 2013 (online version: 2 January 2014) publish ...
'' chartered a BMA Boeing 707 to assist the ''Project Vietnam Orphans'' and ''The Ockenden Venture
Ockenden International is an English international development non-governmental organisation that helps displaced persons become self-sufficient. They work in Afghanistan, Cambodia, Iran, Lebanon, Pakistan, South Sudan, Sudan and Uganda.
History ...
'' charities in evacuating 150 orphaned children from Saigon
, population_density_km2 = 4,292
, population_density_metro_km2 = 697.2
, population_demonym = Saigonese
, blank_name = GRP (Nominal)
, blank_info = 2019
, blank1_name = – Total
, blank1_ ...
during the Vietnam War
The Vietnam War (also known by #Names, other names) was a conflict in Vietnam, Laos, and Cambodia from 1 November 1955 to the fall of Saigon on 30 April 1975. It was the second of the Indochina Wars and was officially fought between North Vie ...
.[
]
On 1 September 1976, jets began gradually replacing the turboprop fleet on most of BMA's domestic and European services, when the airline's first Douglas DC-9
The McDonnell Douglas DC-9 is an American five-abreast single-aisle aircraft designed by the Douglas Aircraft Company. It was initially produced by the developer company as the Douglas DC-9 until August 1967 and then by McDonnell Douglas.
After ...
(a second-hand -15 leased from the manufacturer) replaced Viscounts on the Heathrow–Tesside route.
In 1978, Minster Assets sought to sell the company. With the help of a Californian entrepreneur, Robert F. Beauchamp, Bishop raised £2.5 million to lead the management buy-out
A management buyout (MBO) is a form of acquisition in which a company's existing managers acquire a large part, or all, of the company, whether from a parent company or individual. Management-, and/or leveraged buyout became noted phenomena of 1 ...
, and was appointed chairman as a result, afterwards stating "I had to borrow the money from an American citizen. Most venture capital
Venture capital (often abbreviated as VC) is a form of private equity financing that is provided by venture capital firms or funds to startups, early-stage, and emerging companies that have been deemed to have high growth potential or which ha ...
ists want a return of 40% to make up for all their other failures and they want an exit strategy." That year, British Midland and British Airways agreed to swap some of their routes, resulting in BMA relinquishing its routes from Birmingham
Birmingham ( ) is a city and metropolitan borough in the metropolitan county of West Midlands in England. It is the second-largest city in the United Kingdom with a population of 1.145 million in the city proper, 2.92 million in the West ...
to Brussels
Brussels (french: Bruxelles or ; nl, Brussel ), officially the Brussels-Capital Region (All text and all but one graphic show the English name as Brussels-Capital Region.) (french: link=no, Région de Bruxelles-Capitale; nl, link=no, Bruss ...
and Frankfurt
Frankfurt, officially Frankfurt am Main (; Hessian: , "Frank ford on the Main"), is the most populous city in the German state of Hesse. Its 791,000 inhabitants as of 2022 make it the fifth-most populous city in Germany. Located on its na ...
, and BA handing over its routes from Liverpool
Liverpool is a city and metropolitan borough in Merseyside, England. With a population of in 2019, it is the 10th largest English district by population and its metropolitan area is the fifth largest in the United Kingdom, with a popul ...
to London Heathrow, Belfast
Belfast ( , ; from ga, Béal Feirste , meaning 'mouth of the sand-bank ford') is the capital and largest city of Northern Ireland, standing on the banks of the River Lagan on the east coast. It is the 12th-largest city in the United Kingdo ...
, Dublin, Jersey, the Isle of Man
)
, anthem = "O Land of Our Birth"
, image = Isle of Man by Sentinel-2.jpg
, image_map = Europe-Isle_of_Man.svg
, mapsize =
, map_alt = Location of the Isle of Man in Europe
, map_caption = Location of the Isle of Man (green)
in Europe ...
and Glasgow
Glasgow ( ; sco, Glesca or ; gd, Glaschu ) is the most populous city in Scotland and the fourth-most populous city in the United Kingdom, as well as being the 27th largest city by population in Europe. In 2020, it had an estimated popul ...
. Annual passenger numbers topped 1 million for the first time in 1979.
On 31 March 1980, British Midland replaced British Airways on the Leeds Bradford to London Heathrow route, initially operating with their remaining Viscount 800 aircraft. Within a year or two these were replaced by the DC9 15, and following the extension of the runway at Leeds Bradford, the DC9 32 became the standard equipment on the route supplemented by the 15 series and at weekends the occasional Viscount, Fokker F27 or BAE ATP turbo prop. In 1986 however, British Midland leased a BAC1-11 400 (G-WLAD) from Airways International Cymru
Airways International Cymru was an airline based in Cardiff, Wales formed by Red Dragon Travel, at the time a leading Welsh travel agency and tour operator. It commenced operations in early 1984, and ceased all operations in early 1988 after f ...
, and this aircraft was mainly used on the Heathrow route in lieu of the usual DC9s which returned in 1987. In the following years, British Midland increased its operations from Leeds Bradford, and introduced other routes including Glasgow, Paris CDG and Brussels. When the DC9s were phased out, the Boeing 737 200 became a regular on the Heathrow route, and later the 737 300, 400, and 500 were all operated prior to the arrival of the newly acquired Fokker 100, which again was supplemented on quieter rotations by the smaller Fokker 70. Eventually the Airbus A319 became the standard equipment to Heathrow, but busier rotations saw the larger A320 and occasional A321 too. At its peak, British Midland operated up to 6 flights each way to and from Heathrow from Leeds Bradford, the final late-evening flight being operated on a smaller Embraer 145 Regional Jet. In 2009 the airline dropped the route, which they had operated unbroken for 29 years.
In 1981, the CAA turned down BMA's application to fly between Heathrow, Glasgow and Edinburgh
Edinburgh ( ; gd, Dùn Èideann ) is the capital city of Scotland and one of its 32 Council areas of Scotland, council areas. Historically part of the county of Midlothian (interchangeably Edinburghshire before 1921), it is located in Lothian ...
. However, the Secretary of State for Trade and Industry
The secretary of state for business, energy and industrial strategy, is a secretary of state in the Government of the United Kingdom, with responsibility for the Department for Business, Energy and Industrial Strategy. The incumbent is a memb ...
upheld the airline's appeal against the CAA's ruling. The Secretary of State's decision to overturn the CAA's ruling enabled the airline to commence its first domestic trunk route from the UK's premier airport on 25 October 1982, when it launched six daily return flights between Heathrow and Glasgow operated with DC-9
The McDonnell Douglas DC-9 is an American five-abreast single-aisle aircraft designed by the Douglas Aircraft Company. It was initially produced by the developer company as the Douglas DC-9 until August 1967 and then by McDonnell Douglas.
After ...
s. Although these flights were not as frequent as the competing hourly BA shuttle, BMA offered keener fares and a full in-flight service (compared with the no frills shuttle). Following BMA's success on the Heathrow–Glasgow route, the airline began flying between Heathrow and Edinburgh (1983) and Heathrow and Belfast (1984). With the introduction of these services, BMA and BA were now in direct competition on the UK's three busiest domestic trunk routes. BMA's competitive pressure on BA resulted in the latter replacing its no frills shuttle service with an upgraded ''Super Shuttle'' that included a full breakfast, hot drinks and a free bar service on both Heathrow–Glasgow and Heathrow–Edinburgh from September 1983. (BA subsequently extended ''Super Shuttle'' to Heathrow–Belfast as well following the launch of BMA's competing service in 1984, in turn resulting in BMA abandoning Gatwick–Belfast which was taken over by Dan-Air
Dan-Air (Dan Air Services Limited) was an airline based in the United Kingdom and a wholly owned subsidiary of London shipbroker, shipbroking firm Davies and Newman. It was started in 1953 with a single aircraft. Initially, it operated cargo a ...
.)
Also in 1982, BMA, together with British & Commonwealth (the owners of AirUK
AirUK was a wholly privately owned, independentindependent from government-owned corporations regional British airline formed in 1980 as a result of a merger involving four rival UK-based regional airlines. British and Commonwealth (B&C)-own ...
at the time), formed Manx Airlines
Manx Airlines was an English-owned, Isle of Man-based airline that existed between 1982 and 2002. Its head office was located on the grounds of Isle of Man Airport in Ballasalla, Malew. An airline of the same name existed between 1947 and 1958. ...
, and the following year it purchased a 75% stake in Glasgow-based regional airline
A regional airline is a general classification of airline which typically operates scheduled passenger air service, using regional aircraft, between communities lacking sufficient demand or infrastructure to attract mainline flights. In North ...
Loganair
Loganair is a Scottish regional airline based at Glasgow Airport near Paisley, Scotland. It is the largest regional airline in the UK by passenger numbers and fleet size.
In addition to its main base at Glasgow, it has hubs at Aberdeen, Edinb ...
from The Royal Bank of Scotland
The Royal Bank of Scotland plc (RBS; gd, Banca Rìoghail na h-Alba) is a major retail and commercial bank in Scotland. It is one of the retail banking subsidiaries of NatWest Group, together with NatWest (in England and Wales) and Ulster Ba ...
.[
In October 1984, the Boeing 707 fleet was withdrawn, having been used extensively on lease operations for other airlines across the world.][
In 1985, a new ]aircraft livery
An aircraft livery is a set of comprehensive insignia comprising color, graphic, and typographical identifiers which operators (airlines, governments, air forces and occasionally private and corporate owners) apply to their aircraft.
As aircraft ...
featuring a dark blue upper half and tail, with a light grey lower half separated by a thin, white stripe, was introduced. At this time, BMA was branded simply ''British Midland'', and a new logo featuring a stylised red ''BM'' crowned with a white diamond shape appeared on aircraft tailfins.[ This livery subsequently featured a darker blue upper half and tail, with a deep grey lower half separated by two thin stripes, very dark blue at the top and red at the bottom. However, the logo on the aircraft's fins remained unchanged.
The conclusion of the first fully liberalised ]bilateral air transport agreement
An air transport agreement (also sometimes called an air service agreement or ATA or ASA) is a bilateral agreement to allow international commercial air transport services between signatories.
The bilateral system has its basis under the Chicago ...
in Europe between the United Kingdom and the Netherlands
)
, anthem = ( en, "William of Nassau")
, image_map =
, map_caption =
, subdivision_type = Sovereign state
, subdivision_name = Kingdom of the Netherlands
, established_title = Before independence
, established_date = Spanish Netherl ...
in 1985, as well as a legal technicality exempting the airline from the "London irTraffic Distribution Rules" (a government
A government is the system or group of people governing an organized community, generally a state.
In the case of its broad associative definition, government normally consists of legislature, executive, and judiciary. Government is a ...
policy that sought to compel all airlines that were planning to operate an international scheduled service to or from Heathrow for the first time to use Gatwick instead) as a result of having operated a Heathrow–Strasbourg
Strasbourg (, , ; german: Straßburg ; gsw, label=Bas Rhin Alsatian, Strossburi , gsw, label=Haut Rhin Alsatian, Strossburig ) is the prefecture and largest city of the Grand Est region of eastern France and the official seat of the Eu ...
scheduled service prior to this policy coming into effect on 1 April 1978, enabled BMA to compete directly with BA between Heathrow and Amsterdam
Amsterdam ( , , , lit. ''The Dam on the River Amstel'') is the Capital of the Netherlands, capital and Municipalities of the Netherlands, most populous city of the Netherlands, with The Hague being the seat of government. It has a population ...
from 29 June 1986. This resulted in BMA becoming the first private, independent airline to compete with then wholly government-owned BA on an international trunk route from Heathrow.
The ''Diamond Club'' frequent flyer programme
A frequent-flyer program (American English) or frequent-flyer programme (British English) is a loyalty program offered by an airline.
Many airlines have frequent-flyer programs designed to encourage airline customers enrolled in the program ...
(FFP) launched on 1 October 1987, coinciding with the introduction of an enhanced business class
Business class is a travel class available on many commercial airlines and rail lines, known by brand names which vary, by airline or rail company. In the airline industry, it was originally intended as an intermediate level of service between ...
style, single-class ''Diamond Service'' featuring a full meal and free onboard drinks service for all passengers, regardless of the fare paid, as well as airport lounges at the airline's major UK destinations. These service enhancements helped increase British Midland's market share on the main London–Scotland and London – Northern Ireland trunk routes to 30%. In addition, all aircraft in the fleet were named after diamonds, beginning with a DC-9 named ''The Tiffany Diamond'', unveiled by Rosamond Monckton, the managing director of Tiffany's
Tiffany & Co. (colloquially known as Tiffany's) is a high-end luxury jewelry and specialty retailer, headquartered on Fifth Avenue in Manhattan. It sells jewelry, sterling silver, porcelain, crystal, stationery, fragrances, water bottles, watc ...
in London.[ The company slogan was ''Better for Business'' (2009–2010).
In March 1987, Airlines of Britain Holdings (ABH) was formed to act as a holding company for British Midland Airways and British Midland Aviation Services.][
British Midland operated its final Viscount flight on 20 February 1988, 21 years after the airline had first operated the type.][ That year, British Midland also became the first to operate the British Aerospace (BAe) ATP for which it had been the launch customer. The BAe ATP was the airline's last turboprop type.
In 1992, British Midland became the first airline to offer a vegetarian choice of in-flight meals on UK domestic flights and one of the first in Europe to do so on domestic services. The following year, the airline introduced ''Diamond EuroClass'' on its European routes, the first time it had offered a separate cabin for ]business travel
Business travel is travel undertaken for work or business purposes, as opposed to other types of travel, such as for leisure purposes or regularly commuting between one's home and workplace. According to a survey, 88% small business owners e ...
lers. Initially, ''Diamond EuroClass'' was competitively priced, with the highest fares being the same as rivals' published economy class
Economy class, also called third class, coach class, steerage, or to distinguish it from the slightly more expensive premium economy class, standard economy class or budget economy class, is the lowest travel class of seating in air travel, rail ...
fares.
On 30 September 1996, British Midland began offering ''Diamond EuroClass'' on all its domestic routes, becoming the second airline in the UK after Jersey European Airways (which had pioneered business class on UK domestic routes in 1993) to offer a separate cabin for business travellers on domestic routes and the first to do so on domestic trunk routes from Heathrow.
ABH became British Midland Plc in 1997, when it was de-merged as part of major corporate restructuring.[Our history]
British Midland International (retrieved 22 November 2011) Towards the end of the 1990s, British Midland switched its aircraft suppliers from Boeing
The Boeing Company () is an American multinational corporation that designs, manufactures, and sells airplanes, rotorcraft, rockets, satellites, telecommunications equipment, and missiles worldwide. The company also provides leasing and product ...
and Fokker
Fokker was a Dutch aircraft manufacturer named after its founder, Anthony Fokker. The company operated under several different names. It was founded in 1912 in Berlin, Germany, and became famous for its fighter aircraft in World War I. In 1919 ...
to Airbus
Airbus SE (; ; ; ) is a European Multinational corporation, multinational aerospace corporation. Airbus designs, manufactures and sells civil and military aerospace manufacturer, aerospace products worldwide and manufactures aircraft througho ...
and Embraer
Embraer S.A. () is a Brazilian multinational aerospace manufacturer that produces commercial, military, executive and agricultural aircraft, and provides aeronautical services. It was founded in 1969 in São José dos Campos, São Paulo, where i ...
, selecting A319/320/321s and ERJ 135/145s to replace 737 737 most commonly refers to:
* Boeing 737, an American narrow-body passenger airplane
** Boeing 737 Classic
** Boeing 737 MAX
** Boeing 737 Next Generation
* AD 737, a year in the common era
* 737 BC, a year
* 737 (number), a number
737 may als ...
s and F70/ 100s. In July 1999, Bishop formally opened the British Midland Training Centre in Stockley Close. That year, Scandinavian Airlines System
Scandinavian Airlines, more commonly known and styled as SAS, is the flag carrier of Denmark, Norway, and Sweden. ''SAS'' is an abbreviation of the company's full name, Scandinavian Airlines System or legally Scandinavian Airlines System Denmark ...
(SAS), a shareholder in British Midland since 1987, sold half its stake to Lufthansa followed by British Midland joining Star Alliance
Star Alliance is the world's largest global airline alliance. Founded on 14 May 1997, its CEO is Jeffrey Goh and its headquarters is located in Frankfurt am Main, Germany. , Star Alliance is the largest of the three global alliances by passenger ...
(in 2000).
BMI
Following research that had established that people in the UK tended to confuse British Midland with the Midland Bank
Midland Bank Plc was one of the Big Four banking groups in the United Kingdom for most of the 20th century. It is now part of HSBC. The bank was founded as the Birmingham and Midland Bank in Union Street, Birmingham, England in August 1836. It ...
or British Airways
British Airways (BA) is the flag carrier airline of the United Kingdom. It is headquartered in London
London is the capital and List of urban areas in the United Kingdom, largest city of England and the United Kingdom, with a populati ...
and that many outside the UK could not relate to the term " Midland", it launched a new corporate identity in 2001, rebranding the airline as ''BMI British Midland'' (subsequently shortened to ''BMI''). Aircraft received a new livery of royal blue, white and a fading Union flag
The Union Jack, or Union Flag, is the ''de facto'' national flag of the United Kingdom. Although no law has been passed making the Union Flag the official national flag of the United Kingdom, it has effectively become such through precedent. ...
on the tail, along with the new lower case ''BMI'' logotype. Also in 2001, BMI introduced the Airbus A330-200, its first widebodied aircraft type, into the fleet to enable it to serve the United States and other long-haul destinations. Bilateral restrictions implemented in the 1977 Bermuda II
Bermuda II was a bilateral air transport agreement between the governments of the United Kingdom and the United States signed on 23 July 1977 as a renegotiation of the original 1946 Bermuda air services agreement. A new open skies agreement was ...
agreement meant the airline could neither fly its own aircraft to the US from its main base at Heathrow nor sell tickets on codeshare
A codeshare agreement, also known simply as codeshare, is a business arrangement, common in the aviation industry, in which two or more airlines publish and market the same flight under their own airline designator and flight number (the "airli ...
flights operated by Star Alliance partner United Airlines
United Airlines, Inc. (commonly referred to as United), is a major American airline headquartered at the Willis Tower in Chicago, Illinois. from the airport, as had been planned. Instead, it launched flights from Manchester
Manchester () is a city in Greater Manchester, England. It had a population of 552,000 in 2021. It is bordered by the Cheshire Plain to the south, the Pennines to the north and east, and the neighbouring city of Salford to the west. The t ...
to Washington Dulles
Washington Dulles International Airport , typically referred to as Dulles International Airport, Dulles Airport, Washington Dulles, or simply Dulles ( ), is an international airport in the Eastern United States, located in Loudoun County and F ...
and Chicago O'Hare
Chicago O'Hare International Airport , sometimes referred to as, Chicago O'Hare, or simply O'Hare, is the main international airport serving Chicago, Illinois, located on the city's Northwest Side, approximately northwest of the Loop busines ...
in May and June 2001 respectively. Initially, the new A330
The Airbus A330 is a wide-body aircraft developed and produced by Airbus.
Airbus conceived several derivatives of the A300, its first airliner in the mid-1970s. Then the company began development on the A330 twinjet in parallel with the A340 ...
s operated both routes; however, the Washington
Washington commonly refers to:
* Washington (state), United States
* Washington, D.C., the capital of the United States
** A metonym for the federal government of the United States
** Washington metropolitan area, the metropolitan area centered o ...
service was subsequently downgraded to a narrowbody operation using a Boeing 757-200
The Boeing 757 is an American Narrow-body aircraft, narrow-body airliner designed and built by Boeing Commercial Airplanes.
The then-named 7N7, a twinjet successor for the Boeing 727, 727 (a trijet), received its first orders in August 1978.
...
leased from Icelandair
Icelandair is the flag carrier airline of Iceland, with its corporate head office on the property of Reykjavík Airport in the capital city Reykjavik.
Linked from here
It is part of the Icelandair Group and operates to destinations on both si ...
before being axed in 2005.
The airline carried 7.5 million passengers during 2002. By 2005, the total had risen to 10.1 million, the third highest of any UK airline. In early 2006, the Association of European Airlines
The Association of European Airlines (AEA) was a trade body that brought together 22 major airlines, and was the voice of the European airline industry for over 60 years. It shut down in the end of 2016.
AEA worked in partnership with the insti ...
(AEA) reported a drop in passengers carried and load factor for BMI mainline and regional services (excluding Bmibaby) whilst reporting increased loads for other AEA members over the same period.
BMI operated a service to Mumbai
Mumbai (, ; also known as Bombay — the official name until 1995) is the capital city of the Indian state of Maharashtra and the ''de facto'' financial centre of India. According to the United Nations, as of 2018, Mumbai is the second- ...
from London Heathrow between May 2005 and October 2006, after the UK and India
India, officially the Republic of India (Hindi: ), is a country in South Asia. It is the seventh-largest country by area, the second-most populous country, and the most populous democracy in the world. Bounded by the Indian Ocean on the so ...
amended their bilateral air services agreement. Services to Riyadh
Riyadh (, ar, الرياض, 'ar-Riyāḍ, lit.: 'The Gardens' Najdi pronunciation: ), formerly known as Hajr al-Yamamah, is the capital and largest city of Saudi Arabia. It is also the capital of the Riyadh Province and the centre of the R ...
followed, commencing on 1 September 2005, after British Airways ceased to serve Saudi Arabia
Saudi Arabia, officially the Kingdom of Saudi Arabia (KSA), is a country in Western Asia. It covers the bulk of the Arabian Peninsula, and has a land area of about , making it the fifth-largest country in Asia, the second-largest in the A ...
earlier that year. BMI also launched a scheduled service to Moscow Domodedevo in co-operation with Transaero Airlines
Transaero (russian: Трансаэро), officially ''OJSC Transaero Airlines'' (russian: ОАО «АК „ТРАНСАЭРО“», Открытое акционерное общество «Авиационная компания „ТРАНС ...
on 29 October 2006, which used a dedicated A320 aircraft (G-MIDO) with special seating for the service, including leather seats and a 40" seat pitch. In 2007 the airline launched non-stop services from its Heathrow hub to Cairo
Cairo ( ; ar, القاهرة, al-Qāhirah, ) is the capital of Egypt and its largest city, home to 10 million people. It is also part of the largest urban agglomeration in Africa, the Arab world and the Middle East: The Greater Cairo metro ...
and Amman
Amman (; ar, عَمَّان, ' ; Ammonite language, Ammonite: 𐤓𐤁𐤕 𐤏𐤌𐤍 ''Rabat ʻAmān'') is the capital and largest city of Jordan, and the country's economic, political, and cultural center. With a population of 4,061,150 a ...
, raising the airline's profile in the Middle East significantly. BMI announced on 5 November 2008 that it would end all longhaul operations from Manchester Airport. The two Airbus A330 aircraft based there were moved to Heathrow.
In February 2007, BMI bought British Mediterranean Airways
British Mediterranean Airways Limited, stylized as B, MED, was an airline with operations from London Heathrow Airport in England. It operated scheduled services as a British Airways franchise to 17 destinations in 16 countries throughout Africa ...
(BMED), a British Airways franchise
Franchise may refer to:
Business and law
* Franchising, a business method that involves licensing of trademarks and methods of doing business to franchisees
* Franchise, a privilege to operate a type of business such as a cable television p ...
partner, and as a result gained access to new markets in Africa, the Middle East and Central Asia that were served by that carrier. As a condition of the sale, BMI sold BMED's Heathrow slots to British Airways for £30 million. BMED was fully integrated into BMI on 28 October 2007.
The decision by the European Commission
The European Commission (EC) is the executive of the European Union (EU). It operates as a cabinet government, with 27 members of the Commission (informally known as "Commissioners") headed by a President. It includes an administrative body o ...
(EC) in 2008 to accord secondary slot trading by European airlines – the practice of buying and selling take-off and landing slots at congested airports – legal recognition resulted in BMI valuing its Heathrow slot holding at £770 million. Its first-time inclusion in BMI's 2007 annual report also resulted in a huge boost to the airline's net asset value
Net asset value (NAV) is the value of an entity's assets minus the value of its liabilities, often in relation to open-end, mutual funds, hedge funds, and venture capital funds. Shares of such funds registered with the U.S. Securities and Exch ...
, which stood at only £12 million the year before. It can therefore be argued that the EC's decision to legalise this practice made BMI an attractive takeover target for other Heathrow-based airlines and helped it avert bankruptcy.
In November 2009, following the complete takeover of BMI by Lufthansa, the airline announced a restructuring of its mainline and regional operations in an effort to suspend loss-making routes and adjust capacity. The measures included a fleet reduction of nine aircraft from the mainline fleet (two of which were operated by BMI Regional) and the suspension of routes from London Heathrow to Amsterdam, Brussels, Tel Aviv
Tel Aviv-Yafo ( he, תֵּל־אָבִיב-יָפוֹ, translit=Tēl-ʾĀvīv-Yāfō ; ar, تَلّ أَبِيب – يَافَا, translit=Tall ʾAbīb-Yāfā, links=no), often referred to as just Tel Aviv, is the most populous city in the G ...
, Kyiv
Kyiv, also spelled Kiev, is the capital and most populous city of Ukraine. It is in north-central Ukraine along the Dnieper, Dnieper River. As of 1 January 2021, its population was 2,962,180, making Kyiv the List of European cities by populat ...
and Aleppo
)), is an adjective which means "white-colored mixed with black".
, motto =
, image_map =
, mapsize =
, map_caption =
, image_map1 =
...
in 2010. Seasonal routes from London Heathrow to Palma and Venice
Venice ( ; it, Venezia ; vec, Venesia or ) is a city in northeastern Italy and the capital of the Veneto Regions of Italy, region. It is built on a group of 118 small islands that are separated by canals and linked by over 400 ...
were also discontinued. It was said that the restructuring could result in the loss of around 600 jobs – around 13% of the airline's workforce.
On 12 January 2010, BMI announced that the number of daily flights between Dublin and London Heathrow would be reduced from 28 March from six to four due to the economic climate, which depressed consumer demand. This resulted in the closure of the Dublin base, which consisted of one plane and 33 cabin crew.
In April 2010, the airline announced it would begin using the ''British Midland International'' name, whilst retaining the ''BMI'' logo and continuing to be known by those initials in the domestic market. The decision to revert to the old British Midland name and to spell out for the first time what the I in BMI was supposed to stand for was taken in response to research showing that for passengers based in the Middle East, who accounted for a significant number of the airline's premium bookings, BMI did not mean anything, and that these people preferred a name with the word "British" in it.
Following increasing heavy losses that exceeded £100 million per year by 2012, BMI decided to no longer offer business class on domestic flights and introduce a number of new, longer range international scheduled services from Heathrow to ensure the most profitable use of its highly prized (and sought-after) slots at the severely capacity-constrained airport. This entailed aircraft downsizing (replacing Airbus
Airbus SE (; ; ; ) is a European Multinational corporation, multinational aerospace corporation. Airbus designs, manufactures and sells civil and military aerospace manufacturer, aerospace products worldwide and manufactures aircraft througho ...
mainline jets with Embraer regional jets), frequency reductions and route cutbacks on the airline's loss-making short-haul routes from the airport, including axing its by then heavily loss-making Heathrow–Glasgow route from 27 March 2011. The decision to exit the Heathrow–Glasgow market after almost 30 years' continuous operation was blamed on a big rise in the fees BAA levied on domestic passengers at Heathrow, which had resulted in unsustainable losses of £1 million per month.
BMI's last-ever commercial flight using a "BD"-prefixed flight number touched down at London Heathrow on 27 October 2012. It was operated by Airbus A321-231
The Airbus A321 is a member of the Airbus A320 family of short to medium range, narrow-body, commercial passenger twin engine jet airliners; it carries 185 to 236 passengers. It has a stretched fuselage which was the first derivative of the b ...
G-MEDF.
Corporate affairs
Overview
The airline had its head office at Donington Hall
Donington Hall is a mansion house set in parkland near Castle Donington village, North West Leicestershire. The Hall and Estate was purchased in April 2021 by MotorSport Vision, which also operates the neighbouring Donington Park racing circu ...
in Castle Donington
Castle Donington is a market town and civil parish in Leicestershire, England, on the edge of the National Forest and close to East Midlands Airport.
History
The name 'Donington' means 'farm/settlement connected with Dunna'. Another suggest ...
in North West Leicestershire
North West Leicestershire is a local government district in Leicestershire, England. The population of the Local Authority at the 2011 census was 93,348. Its main towns are Ashby-de-la-Zouch, Castle Donington, Coalville and Ibstock.
The dist ...
, near Derby.[ "Head Office
Tel: +44 (0)1332 854000 Address: bmi Donington Hall Castle Donington Derby DE74 2SB"] The airline's head office was previously at 78 Buckingham Gate
Buckingham Gate is a street in Westminster, London, England, near Buckingham Palace.
Location
At the north-west end is a junction with Buckingham Palace Road and Birdcage Walk opposite Buckingham Palace. At the south-east end is a junction wi ...
in the City of Westminster
The City of Westminster is a City status in the United Kingdom, city and London boroughs, borough in Inner London. It is the site of the United Kingdom's Houses of Parliament and much of the British government. It occupies a large area of cent ...
, London (until 1982).[ In 2011, BMI employed 527 staff at Donington Hall. In 2012, International Airlines Group announced that it may lay off up to 1,200 BMI employees, with proposed layoffs mainly from the head office.
BMI also operated a flight training centre in the Stockley Close Industrial Estate in ]West Drayton
West Drayton is a suburban town in the London Borough of Hillingdon. It was an ancient parish in the county of Middlesex and from 1929 was part of the Yiewsley and West Drayton Urban District, which became part of Greater London in 1965. The se ...
, London Borough of Hillingdon
The London Borough of Hillingdon () is the largest and westernmost borough in West London, England. It was formed from the districts of Hayes and Harlington, Ruislip-Northwood, Uxbridge, and Yiewsley and West Drayton in the ceremonial county ...
, near London Heathrow Airport. The centre opened in 1999 and BMI had a 50-year lease on the property running from 25 March 1999 to 24 March 2049.
Ownership
In 1999, SAS sold half of its 40% stake in British Midland to Lufthansa, which was seeking a stronger position at London Heathrow, following which British Midland joined Star Alliance. At the time, British Midland chairman Sir Michael Bishop owned a 50% share of the company. Between 1999 and 2004, Lufthansa sought to sell some or all of its share in the airline. Virgin Atlantic
Virgin Atlantic, a trading name of Virgin Atlantic Airways Limited and Virgin Atlantic International Limited, is a British airline with its head office in Crawley, England. The airline was established in 1984 as British Atlantic Airways, and w ...
hoped to buy the shares to then merge both airlines, as BMI was already Virgin's preferred feeder airline into Heathrow. Virgin argued that the merger would have brought together two airlines with combined ticket sales of more than £2 billion, forming a powerful force in the aviation industry. BMI was believed to have initiated the talks after it began losing money following the 11 September 2001 attacks
The September 11 attacks, commonly known as 9/11, were four coordinated suicide terrorist attacks carried out by al-Qaeda against the United States on Tuesday, September 11, 2001. That morning, nineteen terrorists hijacked four commerc ...
. A merger would have strengthened Virgin Atlantic's base at Heathrow, where BMI had hundreds of highly valued take-off and landing slots, to increase the competition with British Airways.
The two airlines combined would have had 17% of Heathrow slots against British Airways' 43%. Worried about the increased competition it would face if such a merger went ahead, British Airways considered the takeover of either BMI or Virgin Atlantic to stop the merger. British Airways concluded it would be easier to take over the financially weaker and less high-profile BMI. However, in 2004 talks of any merger of the three airlines ended. In late 2006, the airline again dismissed renewed speculation that Virgin Atlantic was preparing to make a bid to acquire full control of BMI, despite Sir Richard Branson
Sir Richard Charles Nicholas Branson (born 18 July 1950) is a British billionaire, entrepreneur, and business magnate. In the 1970s he founded the Virgin Group, which today controls more than 400 companies in various fields.
Branson expressed ...
repeating in a radio interview that such a merger would be a logical business move.
In June 2007, SAS announced that it would sell its 20% stake to improve its own group profits. The airline commented that it was in early discussions with Lufthansa as a potential buyer. In October 2008 Lufthansa announced it would be taking over BMI by purchasing the 50% shareholding of Sir Michael Bishop to consolidate with the 30% share it already owned.
The European antitrust body approved the takeover on 14 May 2009, allowing Lufthansa to become the majority stakeholder. Due to landing rights issues, the stake would be tentatively held by a Lufthansa-controlled but British-based company, LHBD Holding. Once new bilateral agreements were in place, Lufthansa would take direct control. In June 2009 it was announced that Lufthansa would buy the remaining stake in the airline from Bishop for less than originally agreed upon.
Sale to International Airlines Group
Lufthansa announced in September 2011 that it planned to sell BMI following continued losses. Virgin Atlantic were mooted to be considering an offer; but in early November British Airways' parent company, International Airlines Group, announced an agreement in principle to purchase the airline. Virgin Atlantic confirmed on 12 December 2011 that it had also made an offer for BMI and signed an agreement in late November to allow them to conduct due diligence on the airline. The bid amount of around £50 million was half that offered by IAG; Virgin hoped that a quick sale due to fewer potential regulatory issues would convince Lufthansa to sell to Virgin.
On 22 December 2011, IAG confirmed it had entered a contract to buy BMI from Lufthansa for £172.5 million. This would increase IAG's share of take-off and landing slots at Heathrow from 45% to 53%. Branson pledged to fight the deal, urging European competition authorities to intervene. The deal included the option for Lufthansa to sell BMI Regional and Bmibaby separately, as they are not required by IAG; the deal price would be lowered should Bmibaby not be sold in time. Under the agreed contract, Lufthansa would continue to be responsible for the BMI pension scheme after the sale was completed, although following rejection by the pension regulator, it is now to enter the Pension Protection Fund
The 'Pension Protection Fund'' (PPF) is a statutory corporation, set up by the Pensions Act 2004, and has been protecting members of eligible defined benefit (DB) pension schemes across the United Kingdom since 2005. It protects close to 10 milli ...
.
On 30 March 2012, the sale of BMI was approved, conditional on giving up control of 14 daily slots at London Heathrow. Twelve of these were required to change hands completely while the remaining two could continue be part of the airline's slot portfolio but needed to be leased out. The twelve slots eventually went to Virgin Atlantic, who subsequently used them to set up its UK domestic operation operating out of BMI's old domestic base at Heathrow Terminal 1. BMI's ownership transferred to IAG at 23:59 on 19 April 2012. The airline left Star Alliance, but membership benefits for both Star Alliance and BMI's ''Diamond Club'' continued until 31 May 2012.
The ''Diamond Club'' FFP continues for members with a BMI credit card, who earn points from their spend which can be converted to Avios, the currency of BA's FFP, Executive Club, on a 1:1 ratio. All other members were required to transfer to British Airways' ''Executive Club'' FFP.
British Midland Airways Limited continues to exist as a company, registered at British Airways' head office at Waterside in Harmondsworth
Harmondsworth is a village in the London Borough of Hillingdon in the county of Greater London with a short border to the south onto Heathrow Airport, London Heathrow Airport. The village has no railway stations, but adjoins the M4 motorway and t ...
, as of August 2017.
Subsidiaries
In 2002, BMI set up a low-cost subsidiary, Bmibaby
Bmibaby Limited (styled as bmibaby.com) was a British low-cost airline that flew to destinations in the United Kingdom and Europe from its bases at Birmingham and East Midlands airports. It was a subsidiary of British Midland International, i ...
, using Boeing 737
The Boeing 737 is a narrow-body aircraft produced by Boeing at its Renton Factory in Washington.
Developed to supplement the Boeing 727 on short and thin routes, the twinjet retains the 707 fuselage width and six abreast seating with two un ...
s which were displaced after BMI's fleet renewal programme favoured an all-Airbus fleet. Bmibaby flew routes between major and secondary airports around Europe from its bases at East Midlands Airport, Manchester Airport and Birmingham Airport
Birmingham Airport , formerly ''Birmingham International Airport'', is an international airport located east-southeast of Birmingham city centre, west-northwest of Coventry slightly north of Bickenhill village, in the Metropolitan Borou ...
until it was closed down by IAG in September 2012.
The airline also operated a regional subsidiary named BMI Regional
Flybmi, styled as flybmi, legally British Midland Regional Limited and formerly branded as bmi Regional, was a British regional airline that operated scheduled passenger services across the UK and Europe. The head office of the airline was ...
, headquartered in Aberdeen. An agreement to sell the airline to the Scottish-based consortium Sector Aviation Holdings was reached in May 2012 and was completed on 1 June 2012. BMI Regional continued to operate regional services for BMI until 27 October 2012, when it began operations as an independent airline.
Business trends
The key trends for BMI over its later years are shown below (figures as at year ending 31 December, and include Bmibaby):
Financial data was reported in pounds sterling, and then in euros, because BMI was fully consolidated into the Lufthansa group of airlines on 1 July 2009.
Destinations
Codeshare agreements
By October 2012, BMI had codeshare agreements with the following airlines:
Fleet
Final fleet
Following the sale of BMI to IAG, the airline's fleet began to be transferred to British Airways. All aircraft were transferred and repainted in the BA livery, excluding its two Airbus A330s which were returned to the lessors. At its peak prior to the commencement of licensing transfers, the fleet consisted of the following aircraft registered with the Civil Aviation Authority:
Former fleet
BMI formerly operated the following:
Services
In-flight service
On flights from London Heathrow within the UK and to Ireland, economy class passengers had a selection of food items available for purchase; flexible economy class passengers were offered complimentary snacks and drinks. On European flights and services to Tripoli, Libya, Tripoli, Tunisia and Morocco, a two-class in-flight service was in place, with a hot three course meal for the business class, business cabin and complimentary food and drinks served in the economy class, economy cabin. On mid-haul and the Freetown route, a two-class in-flight service was also in place. The business cabin was served a three course meal and was provided in-flight entertainment. A hot meal and complimentary drinks were served in the economy cabin. On A330 services to Saudi Arabia and Israel (until 2010), business, premium economy (only on board the flights to Israel) and economy cabins were available, each provided with complimentary drinks and food.
Frequent flyer programme
''Diamond Club'' was the frequent-flyer programme of BMI, with three membership levels: Blue, Silver and Gold.
On sale to IAG, and being integrated into British Airways, Diamond Club members were offered a status match - BMI Gold to BA Gold, BMI Silver to BA Silver and BMI Blue to BA Blue (BA's base level). At the time of transfer, BA did not offer a lifetime status, so members who held BMI Lifetime Gold having qualified for 10 years in succession were only matched to BA Gold and were required to re-qualify to maintain that status level.
Incidents and accidents
* On 7 October 1961, Derby Aviation Douglas C-47 Skytrain, Douglas C-47B Dakota 1961 Derby Aviation crash, G-AMSW crashed into Mont Canigou in the French Pyrenees whilst operating a charter flight from Gatwick Airport, Gatwick to Perpignan–Rivesaltes Airport, Perpignan. All 34 passengers and crew were killed.
* The Stockport Air Disaster: a Canadair North Star, Canadair C-4 aircraft owned by British Midland Airways (registration G-ALHG) operating a holiday charter flight crashed near the centre of Stockport, Greater Manchester, on 4 June 1967. This accident, the deadliest in the airline's history, killed 72 of the 84 on board and seriously injured the 12 survivors; it also resulted in withdrawal of the type from the airline's fleet.
* On 20 February 1969, a Vickers Viscount
The Vickers Viscount is a British medium-range turboprop airliner first flown in 1948 by Vickers-Armstrongs. A design requirement from the Brabazon Committee, it entered service in 1953 and was the first turboprop-powered airliner.
The Visc ...
(registration G-AODG) was damaged beyond economic repair when it landed short of the runway at East Midlands Airport. There were no casualties.
* On 20 March 1969, a Vickers Viscount (registration G-AVJA) crashed on takeoff at Manchester Airport, Ringway Airport, Manchester. Three of the four crew members on board were killed.
* On 22 January 1970, a Vickers Viscount (registration G-AWXI) was damaged beyond economic repair at London Heathrow Airport when an engine caught fire on takeoff. A successful emergency landing was made at Heathrow.
* On 18 January 1987, a Fokker F27 Friendship (registration G-BMAU) on a training flight crashed on approach to East Midlands Airport due to wing and tail surface icing. There were no fatalities.
* The Kegworth air disaster: on 8 January 1989, British Midland flight BD 092, a recently delivered Boeing 737 Classic, Boeing 737-400 (registration G-OBME), crashed onto the embankment of the M1 motorway just short of the runway of East Midlands Airport, Leicestershire. Forty-seven of the 118 passengers lost their lives.
* On 24 August 2010, an Airbus A321-231 (registration G-MEDJ) en route from Khartoum
Khartoum or Khartum ( ; ar, الخرطوم, Al-Khurṭūm, din, Kaartuɔ̈m) is the capital of Sudan. With a population of 5,274,321, its metropolitan area is the largest in Sudan. It is located at the confluence of the White Nile, flowing n ...
to Beirut as flight BD996 suffered a serious electrical malfunction which caused the intermittent failure of the captain and co-pilot's electronic displays together with the uncommanded application of left rudder trim. The latter caused the aircraft to stray 20 nautical miles off course. The aircraft was cruising at 36,000 ft at the time, with both autopilot and autothrust engaged. The captain ultimately disengaged both and flew the aircraft manually, landing in Beirut without further mishap. Airbus indicated that an electrical power interruption had occurred which had caused a reset of the Flight Augmentation Computer (FAC). Such an event may cause a small incremental offset of the rudder trim, according to the aircraft manufacturer. The Air Accidents Investigations Board (Air Accidents Investigation Branch, AAIB) subsequently issued Safety Recommendation 2010–092, recommending that Airbus alert all operators of A320 series aircraft of the possibility that an electrical malfunction may not be clearly annunciated on the Electronic Centralised Aircraft Monitoring system (ECAM) and that such an event may lead to an uncommanded input of rudder trim.
See also
* Air transport in the United Kingdom
* List of airports in the United Kingdom
* Transport in the United Kingdom
* List of defunct airlines of the United Kingdom
References
Citations
Bibliography
*
External links
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*
BMI transfer information – British Airways
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British Midland International,
Airlines established in 1949
Airlines disestablished in 2012
Association of European Airlines members
British companies established in 1938
British companies disestablished in 2012
British Air Transport Association
Companies based in Leicestershire
Defunct airlines of the United Kingdom
Former Star Alliance members
SAS Group members