Flybe in financing talks to survive

Regional airline Flybe is fighting for survival, with the UK government being asked to help prevent a second airline failure in less than six months, according to media reports. 

Flybe, which has 2,000 staff, was bought by Connect Airways, a consortium created by Stobart Group, Virgin Atlantic and investment adviser Cyrus Capital for a cut-price £2.2 million a year ago.

If Flybe collapsed, it would be the second high-profile failure in the UK’s travel industry in less than six months after Thomas Cook went into liquidation last September.

Accountancy firm EY is said to be on standby to handle the possible administration of Flybe.

Flybe said in astatement: “Flybe continues to provide great service and connectivity for our customers while ensuring they can continue to travel as planned. 

“We don’t comment on rumor or speculation.”

A Department for Transport spokesperson said it did not comment on speculation or the financial affairs of private companies.

About the Author

Mark McSherry
Dalriada Media LLC sites are edited by veteran news journalist Mark McSherry, a former staff editor and reporter with Reuters, Bloomberg and major newspapers including the South China Morning Post, London's Sunday Times and The Scotsman. McSherry's journalism has also appeared in The Washington Post, The Guardian, The Independent, The New York Times, London's Evening Standard and Forbes. McSherry is also a professor of journalism and communication arts in universities and colleges in New York City. Scottish-born McSherry has an MBA from the University of Edinburgh and a Certificate in Global Affairs from New York University.