1982 was also the year the CAA transferred Air UK's Gatwick—Guernsey licence to Guernsey Airlines, a newly formed regional operator, following numerous passenger complaints about the service Air UK had been providing ever since it had assumed the former BIA operation on that route. That year also saw Air UK joining forces with British Midland to form Manx Airlines, a new, jointly owned regional subsidiary based on the Isle of Man. Air UK parent B&C owned 25% of Manx Airlines, making it the new joint venture's junior partner. (British Midland, which owned the remaining 75%, was the senior partner.) Air UK and British Midland hoped that transferring their loss-making Isle of Man operations to a dedicated, lower cost subsidiary would eventually make these services profitable.