Eu-jet To Be Based At Manston (Merged)

[serko]

RNS Number:8800V
Planestation Group PLC
26 February 2004

PRESS RELEASE

26 February 2004

PlaneStation Group Plc

EX-RYANAIR CHIEF TO USE PLANESTATION'S KENT INTERNATIONAL AIRPORT MANSTON
AS HIS LOW-COST UK HUB

PlaneStation Group plc the airport owner and operator announces that, through
its subsidiary, it has today signed a conditional agreement with Irish airline
company EUjet with the intent of Kent International Airport Manston becoming
EUjet's hub in the United Kingdom.

EUjetwas formed as a collaborative venture between its shareholders and debis
AirFinance (part of the Daimler Chrysler group) one of the world's largest
owners of aircraft. debis AirFinance supplies EUjet with aircraft and
administrative services. EUjetcommenced operations in May 2003 and is
headquartered in Shannon, and is a fully licensed and approved Irish airline.
EUjet currently provides fully supported jet aircraft to airlines and tour
companies, as well as operating charter flights for Europe's premier tour
operators out of Dublin, Birmingham, Bergamo and Milan. EUjet also operates
aircraft on behalf of Air France.

EUjet are currently negotiating arrangements with other airports intended to
form part of the EUjet route structure. It is envisaged that there will be
flights to and from a number of airports in Ireland, the UK and European
destinations. It is anticipated that by the end of this year 29 routes will be
served from Kent International Airport. EUjet has appointed Rothschild as
financial advisor and are in the process of raising additional capital to allow
the company to expand over the next three years. It is expected that the route
selection process will be complete by 14th April 2004 and that the first flight
will take place on 14th June 2004.

EUjet anticipates that its decision to create a new regional airline service
will result in an estimated 300,000 passengers using Kent International Airport
Manston during the first year of operation, growing to some 2 million passengers
by the end of the third year of the operation.

Arrangements are being made to expand the existing passenger terminal facilities
at Kent International Airport Manston to support not only EUjet's operation and
its planned growth but also to support expanding operations.

EUjet is headed by PJ McGoldrick who has over 30 years experience in the airline
industry and was formerly Chief Executive of Ryanair when the company turned its
first profit.

Comment from Oliver Iny (CEO of PlaneStation Group plc):

"We have agreed terms with EUjet which are very satisfactory for both companies.
This deal will be earnings enhancing for the PlaneStation Group and is the first
of several airlines we expect will be flying from this airport."

Comment from P.J McGoldrick (CEO of EUjet):

"During my time at Ryanair I identified the potential and negotiated the
arrangement which resulted in Ryanair making Stansted Airport its UK hub. I
foresee a similar opportunity at Kent International Airport Manston and I am
confident that the agreement signed today will be the basis on which a bright
future will be built for both Kent International Airport Manston and EUjet."

Further Enquiries:

Isabel Crossley St Brides Media 020 7242 4477

P. J McGoldrick EUjet +353 61 723790


This information is provided by RNS
The company news service from the London Stock Exchange

[LTNman]

Three sides water so not the best place for attracting passengers

[serko]

apparantly there's 500,000 people within half an hours drive and there also strong rumours of manston being joined up to the channel tunnel rail link creating a high speed service from london.

[bacardi walla]

Maybe they will take over slots held by NOW cos lets face it, NOW won't be needing em :p

[serko]

I doubt they'll take Now's slots but they might take their staff.

[LGS6753]

I'll bet a pound to a penny that EUjet can't launch 29 services in less than 12 months.
FR operate to about 40 from STN, 12 years after moving there. EZY operate to 16 from LTN after 9 years.
So how do I feel about the rest of this press release? Guess!

[bacardi walla]

serko good point, but I would have thought most of them have gone elsewhere already. Lets hope the management don't try and weadle their way into EuJet otherwise that'll be doomed aswell.

LGS6753 yes, 29 services does seem a bit excessive. Even if it's one service, it's one more than a certain other newbie !!

[boredcounter]

If their ACMI rate is anything to go by, the cost base must be very low indeed. The cheapest aircraft of 100 seats plus I have bought in for a long time. The price did not do justice to the service I recieved, far from LCC.

Good luck to them, guess the a/c choice plays a big part in the cost base, but a good point to start on the learning curve.

If they can take what they have, that I have experienced, they should do well.

Good luck to them,


Bored

[Tarek Nor]

serko

What NOW! staff, nobody's left! THose that are not
working either haven't found anything or are holding
on in hope that NOW! will start. Even the management
have started to go.

[serko]

apparantly there will be an initial 8 flights a day from June with 2 or 3 based aircraft.

[Flightmapping]

>there also strong rumours of manston being joined up to the channel tunnel rail link creating a high speed service from london

Just look at how long the CTRL took to plan and build. There are many much higher priority air/rail integration projects which are relatively advanced (eg EDI interchange, spur to GLA).

A high speed rail service would need to run at least every 30 minutes to be viable. At 50% occupancy, 8 cars x 50 x 50% = 200 pax x 2 = 400pax arriving by rail. 25% rail input it doing very well, so that would be 1600pax per hour - or about 10 x 737-700, assuming nearly full load per HOUR.

I don't see how Manston can be anything more than a small niche operation - 29 routes certainly sounds extremely ambitious & fully agree about being surrounded by three sides of water.

[charterguy]

Manston's press release fails to mention that McGoldrick was also the man behind failed airline Transaer. :O

Transaer Airlines' liabilities to exceed £30 million (http://archives.tcm.ie/businesspost/2000/11/06/story294706.asp)

I have to admit though, the F100's are extremely cheap to operate and there are plenty of them on the market at the moment.

Good luck to EUjet. (Hope they come up with a better name though !)

CG

[TJ747]

HI THERE,

Have just readin the financial section of the mail on sunday that irish airline EU-JET is to make manston in kent its uk base operating to 29 european destinations from june 14 2004.

Anybody have any more info on this and what can be expected.

Its gonna be interesting to see what happens


cheers

TJ747

p.s
anybody have any info on recruitment...pls pvt msg me.

[paulsstrange]

Yes I also read this this morning.

Ive heard rumours that Manchester, Birmingham and Edinburgh could be the first 3 domestic routes out of Manston - purely only a rumour thoe !! with other European destinations too ??

Looking on the Manstion airport website these 3 are also identified on the airports " wish list " for new direct services ???

Not to sure how many F100's will operate initially but id have thought at least 2 or 3 ??

[Buster the Bear]

Too late mate, serko got in there first, just do a search?

[Lite]

I think that Manston has a lot of potential as a southern base for a new low-cost airline, as we've already seen most other airports in the south-east having been "invaded" by others.

Manston does have quite a reasonable catchment area; with the Medway Towns, Dover, Ramsgate, Margate (still popular with some Midland-ers for summer breaks so Birmingham or EMA could work!), Canterbury (popular with many tourists) and pretty much most of Kent all within an hour. London is a 90 minute drive or a two hour train ride, although as has been mentioned a fast speed rail-link could be introduced (its been on the cards for years although noone knowns when it will begin!)

Although what will interest me is how EUJet will market the new airport as? Will London (Manston) do, or could the airport revert to the old name of Kent International, or maybe London/Kent International?

Finally, will this actually be EUJet or will there be a spin-off brand? Does anyone known when everything is being rolled out?

[serko]

routes to be finalised and announced by the 14th of April. Flights to start 14th of june.

[bmibaby.com]

Kent International would be a good name, although I'm not sure if that name is now being used by London Ashford Airport?

It gives the feeling that the airport is for all of the people of Kent, and also gives a clear idea for tourists as to the region they are visting. It's much clearer than the name Manston, which I believe is what the airport was called by the RAF, named after the road leading up to the airport?

Is two months before launch enough time to begin selling seats? Most people by April will have selected their holiday plans and so EUjet may miss out on the summer rush.

I think with regards to Lite's point the airline will have its own brand, not operating as the passenger division of EUjet's ACMI division?

[teachin]

Do you think they would be recruiting UK based Cabin Crew, as there's nothing on their web site at all about any of this...

[TJ747]

FAO: BOREDCOUNTER

Hi Mate,

You mention in your post that on the ACMI lease rateit was the cheapest 100 seats you had bought in for a long time.
I was thinking that these little f100's must be doing it pretty cheap.

Could you possiby tell me what the acmi lease rate was or pvt me with details on this.

Many thx

tj747

[serko]

other rumoured routes are Lahr and Cuneo (and possibly schwerin-parchim and Pilsen) all airports operated by Planestation the owners of Manston.

I beleive EUJet operaste under the call sign euro airways maybe that will be the name.

[Jes]

Thought I'd chip in.

The press release calls it Kent International Manston, so perhaps the London bit has been dropped.

The fast rail link is supposed to start in 2007, when stage 2 of the CTRL opens to St Pancras. The SRA has just published a consultation document on the new timetable, which allows for fast trains from Thanet (just over an hour from Ramsgate). The airport will have a bus connection from the railway. Although the rolling stock is being discussed with several manufacturers, I would suggest that 2008 is the earliest date that we could see services running.

[HZ123]

Guys. Why is an F100 a cheap a/c to operate, as it was not exactly the greatest seller of all times. With engines out of reach for easy turnaround checks and surely all of them are getting on even though they may well be cheap to lease at present but that goes for most airframes at this time. Having flown on them I concede they are comfortable and have a good cabin which appears large to the punter. How many seats can EU put in them.

[Dan319]

EU Jet starting Shannon-Malta.
Perhaps this may be a route from Manston.

Dan:cool:

[serko]

Dan,

where's that info from?

[Jes]

"eu jet shannon malta" in Google gave this

http://maltamedia.com/artman/publish/article_658.shtml

[Dan319]

Hi Serko

Times of Malta, 1.3.04. Also listed other flights to MLA. Appears to be large increase in airlines flying there.

Hope this helps

Dan
:cool:

[Flightrider]

Early route indications:

Amsterdam : twice daily, morning and evening
Geneva : daily, mid afternoon
Edinburgh : three daily, morning, afternoon, evening
Manchester : three daily, morning, afternoon, evening
Glasgow : daily, mid-morning
Dublin : twice daily, morning, evening
Belfast : daily, mid-morning

looks like an initial programme of four aircraft given early morning departures to AMS, EDI, MAN and DUB.

[serko]

Flightrider,

where did you get the route information? I'd heard that on weekdays they would fly business routes with 4 based aircraft(3 flying all day and one flying occasionaly and used as back-up) with 4 rotations each and at weekends they would fly to holiday destinations with 3 rotations each.

[dwlpl]

I do not know of any UK based operations but EU Jet are wanting experienced cabin crew for its 'new bases at Milan-Malpensa and Bergamo'.

[serko]

PlaneStation Takes Off
Shares Magazine

Manston Airport, owned by PlaneStation Group (PTG), could become Kent’s answer to Stanstead.

The company, formerly known as Wiggins Group, has signed a deal with Irish airline EUjet allowing it to establish a European hub at Manston. The airline begins flights from Manston in June.

EUjet is run by PJ McGoldrick, former chief executive of Ryanair, who negotiated Ryanair’s deal with Stansted.

Flights will service business and holiday destinations including Zurich, Amsterdam and Alicante.

PlaneStation shares rose 15% to 5.46p on the news. ‘In the next three years we’ll have a spectacular airport at Manston’, says PlaneStation chief executive Oliver Iny. ‘We’ll soon have a train line from Manston into St Pancras [opening August 2007], where the channel tunnel rail link will start.’

Iny is confident demand exists. ‘If you live in the south of London, getting to a London airport is a nightmare,’ he says.

EUjet forecasts 300,000 passengers, during the first year of operation, rising to two million by the third year.

Iny, who is investing £8 million in expanding the airport, claims further deals are in the offering. ‘We’re talking to several more EUjets and cargo operators,’ he says. ‘We’re getting a huge amount of interest.’

Shares says: PlaneStation is taking off.

[serko]

Thursday, 4th March 2004
KENT INTERNATIONAL AIRPORT, MANSTON
On the 26th February 2004, PlaneStation Group plc, the owner of Kent International Airport, Manston, announced that it had signed a conditional agreement with EUjet with the intent of Kent International Airport Manston becoming EUjet’s hub in the United Kingdom. We confirm that subject to the successful conclusion of negotiations with other airports and the conclusion of other arrangements, we will be in a position to announce the route network in mid April for the first flight being on 14th June 2004. Further announcements and updates on developments shall be posted here.

[templar]

Sounds like 'Flightrider' might be an 'insider'..
Searched high and low and couldn't find anything on their routes!

Wonder how he did?? Who's gonna win Kerry or Bush..thought he might know that too..which reminds me, the grand national is almost upon us .... heh heh :cool: