BMI British Midland is planning a third long-haul service by year-end, even if it fails to get clearance to fly to the USA from London Heathrow.

The airline, which serves Chicago and Washington DC from Manchester with two Airbus A330-200s, aims to re-activate its third, stored A330 for the new route, flying from either Manchester or Heathrow, says chief executive Austin Reid.

The US/UK Bermuda II bilateral deal prevents BMI flying to the USA from its London hub, and, unless this is overturned as part of a wider open-skies deal between the governments, BMI will launch a route to a non-US city. Toronto is a candidate, although the airline has sought licences for other non-US long-haul transatlantic services, and to other points worldwide. "We're waiting to see what the Heathrow policy will be - but if we can't get Heathrow to the USA approved, we will fly to a non-regulation destination," says Reid.

Reid says Manchester-US services were running three-quarters full in March, although "passenger numbers have been difficult".

BMI's low-cost offshoot, Bmibaby, is to up its fleet from two 737s to at least five by the summer as it inherits more -300s or -500s, while BMI receives new A320s.

The East Midlands Airport-based venture is also likely to open other UK bases, says Reid. But he rules out London Stansted - base of no-frills rivals Buzz, Go and Ryanair - and Luton, home to EasyJet. Options include BMI's existing Belfast, Edinburgh, Glasgow, Manchester, Leeds-Bradford and Teesside bases.

Source: Flight International