The Italian Aerospace Information Web
by Aeromedia - corso Giambone 46/18 - 10135 Torino (Italy)
British World Airlines to go into receivership
After some three weeks of intensive efforts to find a solution to its short-term cash flow problems, on December 14 the British World Airlines Board has reluctantly taken the decision to request the appointment of a receiver. At this point of time the company employs 320 people including approximately 50 at Aberdeen. BWA phased out recently its BAC One-Eleven fleet and operate six BAE Systems ATP, three Boeing 737-300 and a single Boeing 757-200. British World headquarters are at Southend airport. The airline specialised in supplying back-up aircraft to other carriers including British Airways, Air France and EasyJet as well as its own programme of charters and special one-off operations. AoC services were also provided.
Due to the current extremely poor trading conditions in the aviation sector, exacerbated by the effects of the September 11 events in New York, the Board were conscious of the fact that the short-term prospects of continuing operations were becoming increasingly difficult, although its Summer 2002 programme was robust and profitable and would have called for a major fleet expansion. Unfortunately, the Group recently suffered bad debts close to one million pounds after the collapse of two of its customers. It is ironic that only yesterday in Parliament, the Government announced a package of aid available to assist airlines through the current difficult conditions.
Attempts have been made over the last three weeks to formulate a recovery programme and it was believed that the company had obtained the support of its major lessors and creditors. However, on Thursday, 13 December, BAE Systems decided that they could not continue to support the company and issued termination notices for their two leased aircraft, following which the other lessors decided that they had no choice but to follow the same course of action. Every effort was made during the course of Thursday to ensure that the interests of its customers were met and that passengers were not inconvenienced. Every aircraft completed its flying programme and all were returned to their bases.
The Board of British World Airlines would like to pay particular tribute to the staff who have been extremely supportive of the company during very difficult and testing times. The employees of British World Airlines have been a great credit to the industry and have been recognised for their professional dedication to the customer base. The company has had a rich history dating back to 1946 when it was founded as Silver City Airways and was one of the longest surviving independent airlines in the UK. In 1962 it became British United Air Ferries, pioneering car-ferry services across the Channel with the Aviation Traders ATL.98 Carvair. It was known as British Air Ferries (BAF) from 1967 to 1993, when it became British World Airlines.
In the picture: Boeing B.737-3S3 G-OBWX of British World Airlines landing at Turin/Caselle airport in 2001. (photo by Aeromedia)
(Aeromedia, December 2001)