BaxterStorey has seen off stiff competition from long term incumbent operator Compass Group to snag a lucrative catering contract with British Airways (BA).
The sought after deal was struck following a competitive tender process, which French catering giant Sodexo – operator of rival airline Virgin Atlantic’s Clubhouses – is also believed to have been keen to win.
Compass Group’s Restaurant Associates business has held the contract, which industry insiders estimate to be worth in excess of £20m a year, for 20 years.
BaxterStorey is expected to be responsible for all of the airline’s First Class and Galleries lounges, as well as the Concorde Room at London Heathrow’s Terminal 5.
Airport lounges used by Leicestershire-based airline BMI, which was bought by BA’s parent company IAG in 2011, is also expected to be part of the contract.
A spokesperson for BA would not confirm the contract award, but said that it is “standard practice” to regularly review its suppliers. At the time of going to press, BaxterStorey was unavailable for comment.
A Restaurant Associates representative said: “We can confirm that Restaurant Associates will no longer be delivering catering services at the BA loungesin the UK. Restaurant Associates will continue to provide excellent service, ensuring a timely transfer of activity over the coming months.
“We are very proud of the long-standing relationship we have had with British Airways and wish them well in the future.”
By Janie Manzoori-Stamford
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