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Old 21st Aug 2011, 14:30
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EI Premier
 
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A further update for charter flights that EI will operate this winter:
Dublin - Geneva - Sat
Dublin - Toulouse - Sun
Dublin - Salzburg - Sat
Cork - Salzburg - Sat
London-Gatwick - Grenoble - Sun
@ Akerosid - This is exactly how EI will cope with an impending potential contraction in economic activity. More information on how EI have diversified away from the purely cyclical/seasonal nature of their business model should be evident in the H1 results. Use of the fleet during the winter season for charters will represent a new source of Revenue for EI.

As I've posted elsewhere, I do hate the word double-dip because not only has it been one promoted by most propaganda driven media outlets since the first quarterly growth was recorded in any Western economy post 2008 - but it is also technically incorrect.

Does anyone know when leases on the current 320 fleet are expiring; can it ground a number of its s/h aircraft, as FR has done; it is possible to replace some of those 320s with more 319s at reasonably short notice?
Unlike FR, EI don't really have a significant amount of overcapacity in the fleet on an average annual basis - certainly not during the summer season. I don't see the need to ground aircraft when they can be used to generate other revenues as above - specifically when there are fixed financing costs associated with them that must be serviced?

Top line revenues, would certainly be affected with a disproportionate impact upon premium revenues on Long Haul routes - however EI have been in ''survival'' trending to stabilisation mode for the past two years - so they are much better positioned to withstand a secondary shock on this occasion.
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