Concorde - The end of an era

Both British Airways and Air France announced today the retirement of their Concorde fleets with effect from the end of October 2003.

British Airways said that its decision had been made for commercial reasons with passenger revenue falling steadily against a backdrop of rising  maintenance costs for the aircraft.

Detailed discussions over an extended period with Airbus, the aircraft’s manufacturer, confirmed the need for an enhanced maintenance programme in the coming years, BA added.

British Airways said it decided that such an investment cannot be justified in the face of falling revenue caused by a global downturn in demand for all forms of premium travel in the airline industry.

Rod Eddington, British Airways’ chief executive, said: "Concorde has served us well and we are extremely proud to have flown this marvellous and unique aircraft for the past 27 years.

"This is the end of a fantastic era in world aviation but bringing forward Concorde’s retirement is a prudent business decision at a time when we are having to make difficult decisions right across the airline."

Noel Forgeard, president and chief executive officer of Airbus, said: "Airbus’ predecessors Aerospatiale and British Aircraft Corporation created Concorde some 40 years ago and we are proud of this remarkable achievement.

"But its maintenance regime is increasing fast with age. Thus, as an aircraft manufacturer, we completely understand and respect the decision of Air France and British Airways, especially in the present economic climate. It goes without saying that, until the completion of the very last flight, we will continue to support the operators so that the highest standards of maintenance and safety are entirely fulfilled."

Air France Chairman Jean-Cyril Spinetta said "Air France deeply regrets having to make the decision to stop its Concorde operations, but it has become a necessity"

"The worsening economic situation in the last few months has led to a decline in business traffic, which particularly weighs on Concorde's results. Maintenance costs have substantially increased since its return to service. Operating Concorde has become a severely and structurally loss-making operation. In these circumstances, it would be unreasonable to continue operating it any longer."

"In announcing this decision" he added "my first thoughts immediately go to the Air France crews and maintenance teams who spared no effort to get the Concorde back in the air after the accident on July 25, 2000. Its return to service was an exemplary technical feat, and I well imagine their sadness today. We shall never forget this aircraft, just as we will never forget those who, by contributing to the Concorde service for almost three decades, enabled Air France to write one of the finest pages in the history of aviation. Today, however, it is essential for any business to preserve a healthy financial situation."

Mr Eddington added that: "While the threat of war and resulting military conflict have had a further impact on premium travel demand, the decision to retire Concorde has been based on a long-term revenue and cost trend rather than recent events.

"I would like to place publicly on record my sincere thanks and appreciation to all our staff, past and present, who have made the Concorde story one of the most compelling in the history of commercial flight.

"Our pride in the aircraft will never wane and I am determined that we make its final six months in the sky a time for celebration." he concluded.

British Airways said that retiring Concorde will result in  £84m write-off costs for the airline for the year ended March 2003.

For the next few months, British Airways will continue to operate its Concorde services between London Heathrow and New York JFK and seasonal services to Barbados. Air France will cease all its Concorde flights from May 31, 2003.