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Euroceltic pull Waterford services.

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Euroceltic pull Waterford services.

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Old 16th Dec 2002, 15:57
  #21 (permalink)  
 
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How can an airline exist if they don't have any aircraft on their AOC ? Surely the CAA won't allow an AOC to continue if the entire fleet is wet leased.
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Old 16th Dec 2002, 16:31
  #22 (permalink)  
 
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The airline does not need a UK AOC if the routes are being operated by Newair on their AOC, all the management have to do is sort out the assignment of the PSO routes.

Apparently the whole UK side is basically closing down after Xmas.

What will happen to the rest of the people at Waterford is yet to be decided, but it's a great pity the way things have turned out.

Newair seem to have gone from scratching around for business to a position of expansion, all on the back of ECY.

Can all this be coincidence or maybe there was a full moon on the day the merger contract was signed!

Best of luck.
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Old 16th Dec 2002, 18:07
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Probably all carefully planned by New Air. Lets face it, it's cheaper to sub in than operate yourself. My guess is that it will either all close down or all be operated by New Air.
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Old 16th Dec 2002, 18:41
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If ECY close does that mean their PSO routes are handed back ? Remember it was ECY and not Newair who were awarded the routes.
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Old 16th Dec 2002, 19:12
  #25 (permalink)  
 
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Possibly EuroCeltic whish to drive their airport costs down, threaten Waterford and Luton with pulling out, then try to get a better deal?


Buster the bear goes into a pub, walks up to the bar and says to the barman "hi, could I have a pint............ ...............................................

...............................................

...............................................

...............................................

..............................................

..............................................

....... of lager"?


"no problem" says the barman "but tell me, why the big pause?"
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Old 16th Dec 2002, 20:26
  #26 (permalink)  
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Euroceltic have confirmed that they are ending services from Waterford. They have done so much damage that they will now finish up early January - Passenger bookings are zero.

-----------------------------------------------

Embargo: 2pm, 16 December, 2002.

South East Regional Airport prepares to lay off 22 employees as Euroceltic Airways withdraw from Waterford

The board of the South East Regional Airport at Waterford today announced that protective notice has been issued to its 22 employees due to the airport’s uncertain financial future as a result of the decision by Euroceltic Airways to withdraw its services from Waterford with effect from January 26, 2003.

The helicopter search and rescue service operated from the airport by CHC on behalf of the Irish Coast Guard is also in doubt today due to a lack of funding to provide back-up staff and services.

Nicholas Fewer, chairperson of the company which runs the regional airport, said it was with deep regret that the airport employees were being given protective notice today in the run-up to Christmas but because the finances are not in place to continue operating the airport safely and to acceptable standards, the board had no other option.

Mr Fewer has also informed Captain Liam Kirwan of the Irish Coast Guard that the cost to the airport of the necessary cover to provide back-up for a 24-hour service, which was to come into operation in January, could not now be met.

Euroceltic Airways announced its decision to pull out of Waterford last week. The airline, whose majority shareholder is Noel Hanley, had hoped to attract 40,000 passengers to its Luton service this year which would have allowed it to break even on its operations. A total of 31,000 passengers will be achieved, which is a tribute to the commitment and hard work of all concerned, but not enough to make it a viable proposition for Euroceltic to continue to operate out of Waterford.

“During the last decade, every regional airport in the country was developing but it is very significant for us that only five out of the six regional airports were being subsidised directly and indirectly through the introduction of Public Service Obligation (PSO) routes,” said Mr Fewer. “Waterford was always excluded and is still excluded. This decision alone has meant that the airport is not financially viable.

“The South East Regional Airport did receive €410,000 from the Government as a marketing grant this year as did the other regional airports but our minimum running costs are more than twice that. With the loss of Euroceltic and this marketing grant, we would need more than €800,000 to stay open and provide the level of manpower and services which are required.

“The five other regional airports received the vast bulk of the €29 million in subsidies which were paid this year,” said Mr Fewer. “Neither the South East Regional Airport nor Euroceltic Airlines can continue to provide essential services from Waterford while running up substantial losses.

“I sympathise with our employees who are facing a very uncertain future at a particularly bad time of the year. I am also very disappointed for Euroceltic and the business community in the region whose efforts to attract increased investment will be hampered by this decision and the south-east’s other well-documented access problems. I am also sorry for the people of the region who deserve better transport facilities but I can assure them that the Board members and I have done everything possible to avoid the current situation.

“We will continue to make every effort to keep the airport open but, as of now, the outlook is very bleak indeed,” concluded Mr Fewer.

ENDS – December 16, 2002.
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Old 16th Dec 2002, 20:53
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So where does this leave the public service routes and their subsidies from the Irish government. Arran lost these flights, but seem to have bounced back ever since?

I was correct with Jan 26th.

31,000 pax must be a reasonable money maker for an airline. Remember that here in the London area, there has been little or no advertising of this route.

Merry Christmas to all those staff at Waterford and a hope that another regional Irish airline takes this one on.

The D228's of Sucking were bursting at the seams when they started the route from Luton, maybe the 29 seat J41's operated by BA from Stansted were the ideal size for the route?
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Old 16th Dec 2002, 21:48
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What a load of Bull!

If the pax numbers were only 25% down on breakeven, then surely cutting costs would have been able to keep the route open.

The real problem could be the debts taken on earlier in the year, all created by feckless UK "management", and the overhead of running the UK side when it should have been centred in Wat months ago.

Wet leasing on the route for the last 6 months just does not add up, although it has produced a "merger", out of which a failing under utilised Newair aquire two valued PSO routes by default.

If you started a new airline and achieved 75% of target, you would be pretty pleased, but the hidden agenda here frankly stinks!

It's a shame those folks in Wat and the rest of the company have to suffer because of the legacy of mistrust and the financial chaos left over from the old regime.

As for the business of using the "threat" of pulling out as a weapon to get a grant.. well? Happy Xmas to you too!

When the new management took over earlier in the year, there were great hopes, unfortunately these have proven to be false.
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Old 18th Dec 2002, 19:19
  #29 (permalink)  
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and they've just announced the launch of a NWI - DUB service, using a F50 (which will not satisfy demand), commencing spring 2003...........
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Old 18th Dec 2002, 20:01
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Well Eurodisney airlines still hav'nt sorted out their website yet im just booked a flight to luton on the 5th of febuary. Wonder what they will have to say when i ring them up?
Any one go any idea's


EI-WAT
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Old 19th Dec 2002, 11:32
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In a further twist, I'm told that last night, BBC Ceefax in East Anglia was showing that EuroCeltic will fly Norwich - Dublin from later this year!
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Old 19th Dec 2002, 19:21
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Any start date on NWI or just "later this year" ?
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