BAA to continue fight against airport sale

BAA to continue fight against airport sale

BAA has said it will fight to keep Stansted and a Scottish airport after the Competition Commission (CC) announced it must sell two assets. The CC confirmed today that the airport operator must sell the south east airport and either Edinburgh or Glasgow in three months. However, BAA has argued that the aviation market has changed since the CC’s initial review in March 2009. This includes the sale of Gatwick, no planned runway development in the south east and increased competition from airports outside of the south east and the UK. Colin Matthews, chief executive of BAA added that it was ‘clear’ Heathrow and Stansted served different markets, as the latter has turned to a more low-cost airline approach. “We are dismayed that the Competition Commission’s final decision still requires BAA to sell Stansted and either Glasgow or Edinburgh airport. The Competition Commission has not recognised that the world and BAA have changed,” he said “This decision would damage our company which is investing strongly in UK jobs and growth. We have a responsibility to protect our shareholders’ investment and we will now consider a judicial review of the Competition Commission’s decision.” Meanwhile Peter Freeman, chairman of the BAA Remedies Implementation Group said the original decision was justified and it was time to level the airport playing field. “We hope that the sales can now proceed without delay so that passengers and airlines can start to enjoy the benefits of greater competition. Our report has been challenged, reviewed and upheld and it is clear that the original decision to require BAA to divest three airports remains the right one for customers,” he said. “It has been a long process whilst BAA has challenged the decision

Gary Marshall
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Gary Marshall
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