XL Airways UK

XL Airways UK was a British low-cost leisure airline whose business combined charter flying for tour operators with scheduled services to holiday destinations. It was headquartered in Crawley, West Sussex, close to London Gatwick Airport, and operated primarily from Gatwick, Manchester and Glasgow, with additional services from airports including Newcastle, Bristol, East Midlands, Birmingham and Ireland West Airport at Knock. Its network covered European resorts and destinations in Egypt, the Caribbean and the United States. The airline began life as Sabre Airways Ltd., established on 18 October 1994 at the initiative of seat brokers Goldcrest Aviation. Operations started in December 1994 using leased Boeing 737-200 aircraft operated initially under Air Foyle's air operator certificate. Sabre obtained its own certificate by the end of 1995 and expanded with Boeing 727-200 aircraft, whose hush-kitted engines allowed night operations from UK airports. From the late 1990s, the carrier progressively introduced Boeing 737-800 aircraft in a high-density, all-leather-seat configuration. Temporary wide-body capacity, including Lockheed TriStars and Boeing 767s, was used to support seasonal demand. Libra Holidays Group acquired an initial minority stake in Sabre in 2000 and increased its holding to a controlling interest in 2001. The airline was then renamed Excel Airways, with Eamonn Mullaney becoming chief executive. Under Libra ownership, Excel concentrated on holiday traffic from Gatwick and Manchester to destinations such as Greece, Cyprus, Turkey, Spain, the Canary Islands, Saint Lucia and Egypt. The company also operated Boeing 747-300 aircraft for Travel City Direct on services between the United Kingdom and Orlando for a limited period. Ownership changed again during the middle of the decade. Air Atlanta Icelandic acquired a substantial stake in Excel in 2004 and later integrated the operation with Air Atlanta Europe. In 2006, the wider business was sold by parent Avion Group to a management-buyout team led by chief executive Phillip Wyatt. The airline was restyled XL Airways, and the XL.com identity was applied across the group, including related operations in France and Germany. The company also arranged leases for Boeing 737-900ER aircraft, which became the first examples of that variant to enter UK service when delivered in 2008. By 2007, XL Airways was serving more than 40 destinations from 13 UK airports and had carried approximately 3.1 million passengers during the year. Its operations remained heavily exposed to leisure demand, fuel prices, seasonal capacity requirements and the financial condition of its parent group. In August 2008, the airline announced that its Caribbean long-haul programme would be suspended because of high fuel costs and falling passenger numbers. The airline's final crisis came in September 2008. XL Leisure Group reported substantial operating losses, while chairman Peter Owen resigned and the group was unable to secure further funding after financial support from key creditors and guarantors was withdrawn. The parent group entered administration on 11 September 2008, and XL Airways UK was among the associated companies placed into administration on 12 September. All flights were cancelled immediately and the fleet was grounded. The collapse left tens of thousands of travellers abroad; package-holiday passengers benefited from the UK's ATOL protection arrangements, while many customers who had booked flights directly had to arrange or fund their own return travel. The brand did not resume operations.

XL Airways UK was founded as Sabre Airways Ltd. on 18 October 1994 by seat brokers Goldcrest Aviation. It began flying on 17 December 1994, initially operating inclusive-tour services from several British airports, including Birmingham, Gatwick, Luton, Manchester and Newcastle. Two leased Boeing 737-200s were initially operated under Air Foyle's certificate. Sabre secured its own air operator certificate toward the end of 1995 and expanded with hush-kitted Boeing 727-200 aircraft, which supported night flying from UK airports. From 1998, the airline began replacing or supplementing its earlier fleet with Boeing 737-800 aircraft configured with 189 seats. It used leased wide-body aircraft when seasonal demand exceeded narrow-body capacity, including Lockheed TriStars during 2000 and Boeing 767s in subsequent seasons. The company reported strong passenger growth and carried nearly 750,000 passengers in 2000, with an average load factor of approximately 80 percent. In the same period, Libra Holidays Group acquired a minority financial interest, later increasing it to a controlling stake. In 2001, Sabre Airways was renamed Excel Airways Ltd. Eamonn Mullaney, formerly associated with Caledonian Airways, became chief executive. The airline focused on holiday traffic linking Gatwick and Manchester with Mediterranean destinations, the Canary Islands, Egypt and selected Caribbean markets. Excel later operated three Boeing 747-300 aircraft for Travel City Direct's UK–Orlando programme; those aircraft left the fleet in 2007 after their leases expired. Air Atlanta Icelandic acquired a 40.5 percent interest in Excel in 2004 and ultimately assumed complete control. By May 2006, Excel had been integrated with Air Atlanta Europe. Later in 2006, Avion Group sold the XL Leisure Group division to a management-buyout team led by chief executive Phillip Wyatt. The transaction included the European Star Airlines businesses, which were rebranded XL France and XL Germany. Excel Airways itself adopted the XL Airways name, while the XL.com brand identity was rolled out across the group. The airline continued to develop its fleet and network. It entered an agreement in 2006 to lease two Boeing 737-900ER aircraft from GE Commercial Aviation Services; the aircraft were delivered in May 2008 and were the first of that Boeing variant to operate with a UK airline. By 2007, XL Airways was flying to more than 40 destinations from 13 UK airports and had carried about 3.1 million passengers during the year. It also marketed services from Ireland as XL Airways Ireland, including flights from Dublin, Cork and Knock to destinations such as Palma, Faro, Bourgas, the Greek islands and London Gatwick. The business deteriorated during 2008 as fuel prices rose and economic conditions weakened. XL announced in August that its Caribbean long-haul programme would be cancelled from November because passenger demand had declined and fuel costs had become unsustainable. The group subsequently announced operating losses of £24 million, and chairman Peter Owen resigned. On 11 September 2008, XL Leisure Group entered administration. The following day, XL Airways UK and other group companies were placed into administration, with administrators stating that the businesses could not continue trading. The airline immediately cancelled its flights and grounded its aircraft. The collapse affected approximately 90,000 holidaymakers who were stranded across destinations in Europe, the United States, the Caribbean and Africa. Around 63,000 package-holiday travellers were covered by the UK's ATOL protection scheme, allowing repatriation flights to be arranged. The Civil Aviation Authority chartered aircraft from other operators to bring travellers home. Customers who had bought direct flights rather than protected package holidays faced greater costs and uncertainty, although some alternative fares and seats on repatriation flights were made available. XL Airways UK never resumed operations and became a defunct British airline.

• 2008

  Boeing 737-900ER enters UK service with XL Airways

  [1]XL Airways UKen.wikipedia.org

  Two leased Boeing 737-900ER aircraft were delivered in May and became the first aircraft of the type to operate with a UK airline.

• 2008

  XL Airways UK ceases operations

  [1]XL Airways UKen.wikipedia.org

  XL Airways UK entered administration on 12 September and cancelled all flights immediately.

• 2007

  Passenger volume reaches approximately 3.1 million

  [1]XL Airways UKen.wikipedia.org

  The airline carried approximately 3.1 million passengers and served more than 40 destinations from 13 UK airports.

• 2006

  The airline adopts the XL Airways identity

  [1]XL Airways UKen.wikipedia.org

  After a management buyout of the XL Leisure Group division, Excel Airways was restyled as XL Airways and the XL.com identity was introduced across the group.

• 2004

  Air Atlanta Icelandic acquires a major stake

  [1]XL Airways UKen.wikipedia.org

  Air Atlanta Icelandic acquired a 40.5 percent stake in Excel and later moved toward full control.

• 2001

  Sabre becomes Excel Airways

  [1]XL Airways UKen.wikipedia.org

  Following Libra's increase to a controlling interest, Sabre Airways was renamed Excel Airways Ltd.

• 2000

  Libra Holidays Group takes a significant stake

  [1]XL Airways UKen.wikipedia.org

  Libra Holidays Group acquired an initial one-third interest in Sabre and later increased its holding.

• 1995

  Sabre obtains its own air operator certificate

  [1]XL Airways UKen.wikipedia.org

  After initially operating under Air Foyle's certificate, Sabre began operating under its own certificate by the end of 1995.

• 1994

  Sabre Airways is established

  [1]XL Airways UKen.wikipedia.org

  Sabre Airways Ltd. was established on 18 October 1994 at the initiative of Goldcrest Aviation.

• 1994

  Commercial operations begin

  [1]XL Airways UKen.wikipedia.org

  The airline began operations on 17 December with inclusive-tour services from multiple UK airports.

A low-cost, leisure-oriented British airline focused on charter and seasonal holiday travel, with a network spanning European resorts and selected long-haul destinations.

• Short-haul charter and scheduled services · 1994

  European leisure flights

  The airline's core business connected UK airports, especially Gatwick and Manchester, with Mediterranean and other European holiday destinations. Routes included Spain, the Canary Islands, Greece, Cyprus and Turkey, with seasonal schedules shaped by tour-operator demand.

• Long-haul charter services

  Long-haul leisure flights

  XL Airways operated selected long-haul leisure services to the Caribbean, the United States and other holiday markets. The network included destinations such as Orlando, Saint Lucia, Antigua, Barbados, Grenada, Saint Kitts and Nevis, and Trinidad and Tobago.

• Tour-operator capacity · 2006

  Travel City Direct operations

  Three Boeing 747-300 aircraft were used in the middle of the 2000s for Travel City Direct services between the United Kingdom and Orlando. The aircraft were leased and left the fleet in November 2007 when the leases expired.

• Regional leisure services · 2007

  XL Airways Ireland

  From May 2007, the XL brand was used to market flights from Dublin, Cork and Knock through XL Holidays. Services included links to Palma de Mallorca, Faro, Bourgas, Reus, Mykonos, Santorini, Skiathos, Zakynthos and London Gatwick.

• 2007West Ham United shirt sponsorship

  United Kingdom

  XL Airways sponsored West Ham United Football Club during the 2007–08 football season as part of its UK brand-building activity.

  Outcome. The arrangement was cancelled on 12 September 2008 after XL Leisure Group entered administration. West Ham reportedly received only £2.5 million of the planned £7.5 million sponsorship value.

  Source

• 2008

  Suspend Caribbean long-haul programmeStrategy

  Background

  Rising fuel prices and weaker passenger numbers made the Caribbean programme increasingly difficult to operate profitably.

  Action taken

  XL Airways announced the cancellation of its Caribbean long-haul programme from November 2008 until further notice.

  Aftermath

  The planned route suspension preceded the wider XL Leisure Group collapse and the airline's cessation of operations in September.

  Source

• 2008

  Enter administration and terminate flightsOther

  Background

  The group reported operating losses of £24 million and could not obtain further funding after key creditors and guarantors withdrew support.

  Action taken

  XL Leisure Group entered administration on 11 September, followed by XL Airways UK on 12 September. All flights were cancelled and aircraft were grounded.

  Aftermath

  Approximately 90,000 travellers were left abroad. ATOL protection supported the repatriation of many package-holiday customers, while direct-booking passengers generally had fewer protections. Reported group debts were approximately £205 million.

  Reported group operating loss. £24 million loss (Shortly before September 2008 administration)

  Source

• 2006

  Management buyout creates the XL Airways identityM&A

  Background

  Avion Group decided to sell its XL Leisure Group division, which included Excel and related European airline operations.

  Action taken

  A management-buyout team led by Phillip Wyatt acquired the division for a reported $450 million and renamed Excel Airways as XL Airways. The XL.com identity was adopted across the group.

  Aftermath

  The transaction created a broader XL-branded European leisure-airline group, including XL France and XL Germany.

  Reported acquisition price. $450 million (2006)

  Source

• 2001

  Rename Sabre Airways as Excel AirwaysStrategy

  Background

  Libra Holidays Group increased its holding to a controlling interest, creating the basis for a closer alignment between the airline and the holiday group.

  Action taken

  The airline changed its legal and trading identity from Sabre Airways to Excel Airways and appointed Eamonn Mullaney as chief executive.

  Aftermath

  The renamed airline concentrated on leisure routes from Gatwick and Manchester and expanded its holiday-destination network.

  Source

1. 1XL Airways UKen.wikipedia.org