Very few airlines will be paying double for fuel this Christmas season. Some may have hedged and locked themselves into futures contracts at higher prices. It just may turnout that O'Leary's gamble to not hedge will help Ryanair a bit this winter, though he undoubtedly bled a lot of cash this summer. At least he had it to bleed.
I still took my holiday and everyone I know took theirs too this summer. I even paid a bit more to go on BA, as Ryanair's ridiculous baggage limits (15kg max in the hold) were totally unsuitable for the amount of kit needed for a longish holiday.
Double fuel prices and only a 2.7% drop in yield says it all; the European summer holiday is sacrosanct. I suspect the winter sun or ski breaks will be too.