Transportation Industry

Company Watch - Ryanair

AirGuide Business, Jan 21, 2008

Jan 21, 2008

Ryanair chief executive Michael O Leary was on hand in a local Munster rugby jersey at Shannon as the last Aer Lingus flight departed, offering all those flying free tickets to fly to London with his airline. The rivalry between the two Irish airlines has intensified since Ryanair made an unsuccessful bid for Aer Lingus in October 2006, launching a daring dawn raid on the shares shortly after the former state owned carrier was part privatised. The government owns 25 per cent, but Ryanair is now the largest single shareholder with just less than 30 per cent. Ryanair, rarely a champion of a state-owned airport, was highly critical of Aer Lingus move to Belfast and tried to convene an extraordinary meeting of shareholders to question the strategy. The decision was a particular blow for Shannon, which is already set to lose business with the advent of the open skies agreement between the European Union and the US, which takes effect from April. Jan 20, 2008

Ryanair said the airlines had lost faith in Britain's Civil Aviation Authority (CAA) after it recommended the caps be lifted. The Stansted Airline Consultative Committee (ACC), which represents airlines, also said the CAA had abandoned its duties. EU Starts Aid Probe Into Danish Airport. The European Commission on Tuesday launched a probe into whether the operator of Aarhus Airport in Denmark, granted state aid to some airlines through discriminatory rebates on airport charges. The investigation follows a complaint that airport charges set by Aarhus might constitute state aid to low-cost airline Ryanair. Jan 16, 2008

Ryanair announced its 25th European base in Birmingham with a host of extra routes. Two Boeing 737-800 aircraft will deliver 20 new services to Denmark (1) France (5), Italy (5), Norway (1), Poland (3), Portugal (1), Slovakia (1), Spain (2), and Sweden (1). Jan 15, 2008

Ryanair fares range on the new routes. The cheapest is to Shannon from just u5 ($10) including taxes, but most others start at u24 ($47) one-way including taxes. Barcelona (one way) at u24, Stockholm (one-way) u24, Dublin (one-way) u10, Marseille (one-way) u24. Ryanair are offering all passengers who buy a return flight on any route from Birmingham before midnight on 17 January a free bonus flight (no taxes, fees or charges) for travel in February to Dublin or Shannon. Jan 15, 2008

Ryanair has been extremely critical of the Aer Lingus Belfast move, saying the Irish government promised the Shannon service would be maintained when it sold Aer Lingus in October 2006. Ryanair has said it will add extra services from Shannon to Gatwick and Stansted and introduce a Luton rotation to do its bit to make up for the loss of passenger volume . A spokesman told ABTN We re going from four to seven daily flights from Shannon to London within the next 30 days. Jan 15, 2008

Ryanair will set up its 25th European base at Birmingham International in the spring with two Boeing 737-800s operating on 20 new routes to Denmark, France, Italy, Norway, Poland, Portugal, Slovakia, Spain and Sweden. This will be followed by a further eight 737-800s representing an investment of $560 million that the LCC said will deliver 5 million passengers annually. It will launch flights from BHX to Girona and Pisa in April; to Marseille in May; to Billund, Bologna, Dinard, Sandefjord, Poitiers, Porto, Trieste, Reus and Rzeszow in June; and to Biarritz, Bratislava, Bydgoszcz, Gdansk, Olbia, Perpignan, Stockholm Skavsta and Trapani in July. Jan 17, 2008

Ryanair has invested $700m (u356m) which will also pay for a further eight Boeing 737-800 aircraft. It plans to carry five million passengers annually, accounting for a visitor spend of u400m ($787m), which it says will sustain 5,000 jobs in the west Midlands. The base is scheduled to open in June. Jan 15, 2008

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