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BRITISH AIRWAYS: Calls for Improved Service Quality Regulations
British Airways Plc is urging the Civil Aviation Authority to stop BAA Ltd. delaying the introduction of improved customer service quality targets at Heathrow by up to two years.
The airline is providing evidence to the CAA at oral hearings on the current BAA airport charges review that start on Monday, Jan. 28, 2008.
As part of the current review, the Competition Commission recommended that the CAA strengthened BAA's service quality regulations in key areas such as the central security search area, security control posts and transfer search areas.
BAA wants the delay to enable action plans and measurement systems to be set up before many of the new targets are introduced and to fund additional work to deliver acceptable service standards in these areas.
"It appears that BAA is paying lip service to customers' needs and will only take real steps to improve service quality when forced to do so by the regulators. For passengers to continue to experience the Heathrow Hassle for another two years because BAA hasn't got its act together is unacceptable," Paul Ellis, British Airways' general manager airport policy and infrastructure, said. "Many of the areas identified as needing better targets affect flight punctuality. Delays at security control posts mean that, on occasions, catering is late being loaded on the aircraft and even our flight and cabin crew don't get to the aircraft on time. Airlines have been highlighting punctuality problems to BAA for more than two years so it's had ample time to plan for improved performance levels and invest in the infrastructure necessary to deliver them. We believe that the technology exists now to develop measurement systems and airlines have already made proposals to BAA on ways to reduce delays."
The CAA as regulator has to decide whether or not to allow BAA to delay the introduction of new service quality regulations.
"The CAA's role is to create an environment where a monopoly supplier is forced to act in a competitive way. A competitive company wouldn't be able to rely on previous failures to invest as an excuse for not being made accountable for service quality improvements," Mr. Ellis said.
About BAA
Headquartered in London, United Kingdom, BAA Ltd. (fka BAA plc) -- http://www.baa.com/ -- owns and operates seven airports in the United Kingdom, including Heathrow, the world's busiest international airport, and Budapest Airport, serving 700 destinations by around 300 airlines.
In June 2006, BAA was bought by a consortium led by Grupo Ferrovial SA, the Spanish construction company. Ferrovial is one of the world's leading construction groups, specializing in four strategic lines of business - airports, construction, transport infrastructure and services - throughout Spain, the U.K., Portugal and nine other countries in Europe and the rest of the world. The company has around 89,000 employees and a net revenue of EUR12.4 billion.
About British Airways
Headquartered in West Drayton, United Kingdom, British Airways Plc -- http://www.ba.com/ -- operates of international and domestic scheduled and charter air services for the carriage of passengers, freight and mail, and provides of ancillary services. The British Airways group consists of British Airways plc and a number of subsidiary companies including in particular
British Airways Holidays Ltd. and British Airways Travel Shops Ltd. BA has offices in India and Guatemala.
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As of Jan. 2, 2008, British Airways Plc carries a senior unsecured debt rating of Ba1 from Moody's Investors' Service with a stable outlook.
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