Ryanair - 6

[lexoncd]

The plain fact that Ryanair alone managed to get away without changing its reservation system to show inclusive prices until earlier this years says much for so called bias.

It's another....boring...publicity stunt from Ryanair. the central legal fact will what % of seats were available Fri - Sun. Yes we know on a Tuesday in November you can get a £10 flight.... but Ryanair have to show that there was reasonable capacity. In most travel circles this is considered to be around 10% of capacity.

So called ancillary charges will end up being included if the OFT have their way but its a tricky issue. On shorter routes you may well argue for a charge for hold luggage however on longer more leisure orientated routes there's an argument for a luggage allowance.

it will be an interesting bun fight but in the end I think the consumer will force the change by increasingly seeing through these so called fares and making a mental calculation.....

Reading the rone of the letter from Ryanair they do need a lesson in manners...the sheer arrogance to anyone questioning their ways is amazing....

[pee]

From today's news:

Mounting expectations of a rate cut from the Bank of England this week saw the pound fall to a record low against the euro today.

The cost of a euro rose above 80p - hitting UK holidaymakers planning trips to Europe - reaching its highest level since the single currency was introduced in 1999.

An other setback for FR apparently, as they keep focusing on the UK market. The drop in outgoing holidaymakers will hit regional bases, the taxes&fees increase lessens the profitability at STN and over a third of FR's bases is located in the UK. Tough times ahead.

[MUFC_fan]

This will effect FR alot more than U2.

U2 are catering for the business passengers and holiday makers who are heading to the main resorts (PMI, ALC, AGP, FAO) etc. where as FR have alot of flights to places such as Seville and Granada where the demand is not so high - and they have to fill more seats!

U2 is getting a big base at LGW which has more of an appeal to business passengers compared to FR's biggest base north of the city.

Expecting FR to be hit more with the current problems than U2, who seem to be doing quite well during this so called 'crisis.'

[nickmo]

Bun fighting indeed, in every sense! - now that FR are reporting the ASA to the OFT.

I get confused (I think) - reading who said what to whom about what and why it was said to them and when it was said to anyone who was listening.........

Lots of gripes on this and other topics related on the Stansted Airport news pages if interested : http://www.uk-airport-news.info/stan...ews-040408.htm

[840]

Remember that the currency depreciation makes the UK a lot cheaper for people travelling to it. Added to that, as the Euro has strengthened against the dollar, it's shielded Ryanair from some of the problems associated with the rise in oil prices. UK-based airlines will have benefitted to an extent as sterling has also risen against the dollar, but not to the same degree as Ryanair.

[kingdee]

been trying for 2 hrs now

in The New Web site all i get is

An Error Has Occurred

An error condition exists which is preventing you from continuing. You may wish to start over and try again.
If you continue to get this error message, please contact the airline.

[Seat62K]

"Schoolkid", in post 1461, seems to be saying that 1p passengers are exempt from UK APD. Why is it, then, that when I redeem miles collected as a member of "frequent flyer" programmes I am charged APD (when I'm paying, before taxes/fees/charges less than 1p)?
I had always assumed that APD was levied on all passengers departing from a UK airport.

[lexoncd]

All bookings are subject to APB even ID100 tickets

[lexoncd]

Remember that the currency depreciation makes the UK a lot cheaper for people travelling to it. Added to that, as the Euro has strengthened against the dollar, it's shielded Ryanair from some of the problems associated with the rise in oil prices. UK-based airlines will have benefitted to an extent as sterling has also risen against the dollar, but not to the same degree as Ryanair.

The outlook isn't as rosy as it seems I'm afraid. Ryanair have 68 aircraft as of 31 Dec 07 based at UK airports and 60 in the EU zone with 22 of those in Dublin. (Dublin - UK routes with bias towards uk traffic)

Assuming for a fact that the travel patterns by Ryanair are the same as other carriers then the bias towards Uk originating traffic is considerably more than a straight 50/50 split on international routes allowing for some of the Dublin based aircraft above. This therefeore means that considerably more than half their income is in sterling for over half their fleet. I would go so far as to suggest that approximately 40 - 45% of their total revenue is in sterling which will have dropped in real terms by 17% in a year as we're now looking at 1.25 euros compared to 1.49 a year ago.

Add in the additioanl fuel costs due to not being hedged and you have an interesting scenario ahead. this is why you're seeing the start of the PR spin campaign to head off what will ultimetly have to be announced that their profits will fall by a significant amount as in fairness will most if not all of their competitiors.

I believe the discerning customer will prevail. Looking at other markets and taking the retail sector as an example when a downturn comes it is the low cost/bottom end segment that looses out first. I see no reason for that being any different as the price rises all airlines will face will see any so called price differential being erroded.

I alos see sustained growth from smaller regional airports becomming increasingly difficult. Linking many smaller European destinations to a larger hub. i.e Haugesund to London and Poitiers to London is fine but you won't see Haugesund to Poitiers (or maybe you will). Take Easyjet and their network and you can see the link to larger destinations makes more sense as they expand the network.

Ryanair won't go, there will be many more before that scenario but they are now lwarning to deal with a new set of economic rules I theink few in the airline industry or for that matter any other industry could have forseen.

[jonjon]

Ryanair to ground 20 planes this winter

Hi,

Just read this on Flight Global...

http://www.flightglobal.com/articles...is-winter.html

[bad bear]

Mass exodus?

If I was on one of those new "contracts" with Ryan air I would seriously think about jumping ship for any "year round" job ASAP before I ended up parked along with the aeroplanes
That is around 200 first officers forced to go skiing all winter, even the bit when there is no snow!

[potkettleblack]

And he is in between a rock and a hard place if he tries to sell them since they are minimum spec and Boeing will sell you the all singing all dancing version to match any price that Mick will flick them off at.

[er340790]

MOL double-speak

"We will put 20 aircraft on the ground for the winter because it’s more profitable."

I think MOL means LESS COSTLY.

[763 jock]

And how many on order? Have they bitten off more than they can chew?

[Musket90]

Don't know what all the fuss is about. Winter months are always a lean time for airlines. Makes sense not to fly unprofitable routes during winter when there is no demand.

[RingwaySam]

And how many on order? Have they bitten off more than they can chew?

Jethros shows 139 on order, but was last updated on the 27th March - 24 aircraft to be withdrawn this year, and 28 due for delievery this year. Like I said, updated in March so may have changed slightly.

[saccade]

Don't know what all the fuss is about. Winter months are always a lean time for airlines. Makes sense not to fly unprofitable routes during winter when there is no demand.

If they are able to fill up only 150 ish planes during the winter period, will they be grounding 170 planes during the winter of 2012?

[puma230]

Ezy to lose 5 ac this winter too. Not great if you're in the hold pool!

[jazzcat2000]

Last month we were told that 42 were being delivered in the next twelve months.

[411A]

Steady on, folks, don't get in a snit.
Winter...the slow time in Europe.
However, it is the busy time in many African destinations, so a dry lease of the aeroplanes is possible...wet lease even better, as the crews come with the machine, no muss, no fuss.

Gin and/or vodka tonic, anyone? Tonic is the key, as we all know...or, should know.
Vodka preferred by yours truly, James Bond style.

For the younger folks, drink plenty of these, dodge malaria...a Havana cigar works well, also.