Companies to be taxed on share buybacks

"A number of quoted companies, such as Grafton, the building materials group, have a policy of implementing a share buyback instead of paying an annual or half-yearly dividend to shareholders. Ryanair chief executive Michael O’Leary recently signalled that the airline was considering a major cash distribution of up to €1 billion by way of share buyback from 2013."

O’Leary says Irish routes are least profitable for Ryanair

"Ryanair’s routes to and from Ireland are the least profitable parts of its entire network, according to Michael O’Leary, its chief executive. Speaking after the airline reported third quarter pre-tax losses of €12.5 million last week, O’Leary told analysts that high costs, including charges at Dublin Airport, and the government’s controversial €10 departure tax were to blame. ‘‘The Irish routes are the least profitable routes we have because they are the highest cost ones,' O’Leary said."

Easyjet A319 at Belfast on Jan 25th 2010, rejected takeoff

"An Easyjet Airbus A319-100, registration G-EZDM performing flight U2-604 from Belfast Aldergrove,NI to Liverpool,EN (UK), rejected takeoff from Aldergrove's runway 07 when the crew saw a flock of sea gulls in the departure path. The airplane returned to the apron for a check. The airplane departed again and reached Liverpool with a delay of 70 minutes. A passenger reported, that the airplane was well into acceleration when the crew rejected takeoff. Later the captain announced, that he thought a sea gull was going to hit the engine and therefore rejected takeoff."

Ryanair says might have once flown Ethiopian jet

"Ryanair Chief Executive Michael O'Leary said on Tuesday he believed the Ethiopian Airlines Boeing 737-800 that crashed off Lebanon on Monday was operated by his airline until April last year. He said Ryanair sold the plane in April 2009, without specifying the buyer. 'I think they had it in maintenance, they did some work on it, between April and May. I think they leased it to Ethiopian in September, and something happened to it. We are not sure yet, but it may have been that aircraft that was involved in the accident yesterday'. 'What happened we don't know. It's a bit like you selling your car and 11 months later the new person driving it has a crash. It had nothing to do with us,' the Irish airline's CEO told Reuters after a news conference in Rome."

OFT "puerile and childish", not Ryanair

"The OFT is 'puerile and childish' in comparison with the german VZBV (german OFT), who took ryanair to court in april 2009 and banned ryanair from extra charges on creditcards. OFT chief executive John Fingleton attacked the company for fees that Ryanair adds when customers use all but one type of credit card to pay online. Ryanair is using a legal loophole to justify charging the extra fee. Has the OFT no way of making a complaint against this british law loophole?"

Easyjet faces court action in Paris

"Easyjet is facing court action in Paris after allegedly breaking French labour laws. French officials have accused the airline of failing to declare 170 staff employed at Paris Orly airport between 2003 and 2006. Reports claim Easyjet could be liable for 10m euros in unpaid social security contributions. Easyjet argues that because the staff were hired under British contracts, they were not subject to French rules."

Easyjet A319 near Lisbon on Jan 21st 2010, engine trouble

"An Easyjet Airbus A319-100, registration G-EZDR performing flight U2-6006 from Faro (Portugal) to Bristol,EN (UK), was enroute at FL380 about 75nm northeast of Lisbon, 95nm southeast of Porto and 160nm north of Faro, when the crew reported engine trouble (CFM56) and decided to divert to Porto for a safe landing. A replacement Airbus A319-100 registration G-EZBI was dispatched to Porto and reached Bristol with a delay of 7 hours."

Easyjet accused of not being open with staff numbers

"Easyjet has been ordered to a French court for allegedly breaking French labour laws. French officials have accused the airline of failing to declare 170 staff employed at Paris Orly airport between 2003 and 2006. The airline may have to pay up 10 million euros in unpaid social security contributions if it is found negligent. Easyjet has argued that because staff members were hired under British contracts, they were not subject to French rules."

2,150 jobs to go as Ryanair cuts Dublin Airport flights

"Ryanair has predicted the loss of 2,150 jobs due to its decision to cut its flights from Dublin Airport by up to 20%. 150 jobs with the airline are set to go with a further 2,000 support jobs at the airport and in the wider economy are under threat, a Ryanair spokesperson claimed."

Ryanair may go for first fare hike in four years: reports

"Ryanair reportedly plans to increase fares for the first time in four years, to sustain earnings growth as the carrier slows its expansion plans. Ryanair chief executive Michael O’Leary has indicated that the airlines’ average fares could rise from the beginning of its next financial year on April 1st, reported Irishtimes.com. According to Dow Jones, O’Leary said average fares will be flat across Europe in 2010, but Irish fares will rise 10 percent."

easyJet bag themselves a row with Ryanair

"Did easyJet know what was coming? On the same day that arch-rival Ryanair took out a newspaper advertisement accusing the orange-branded airline of 'hiding the truth' about its on-time statistics, together with a rather fetching photograph of Sir Stelios with a Pinocchio nose, easyJet hit back."

Hidden Airline Credit Card Charges Exposed

"Budget airlines for charging extra for services you may not know about. Customers could end up paying 30% more than the advertised sums as a result of extra fees such as credit card charges. The companies bmibaby, EasyJet, Ryanair and Jet2 were analysed in a study by Which?, in relation to four destinations: Paris, Rome, Malaga and Faro. All of these companies charge extra for credit or debit card use and also for checking in luggage. Flying to Paris with bmibaby showed a 25% increase in price when both of these services were used and for Ryanair it meant £50 extra across all of its routes."

Ryanair falls on analyst downgrade

"Ryanair (-1.8%) fell on news RBS downgraded the carrier’s shares from ‘Buy’ to ‘Hold’. The analysts stated that Ryanair’s shares have risen 21% in the past two months on the clarification of its fleet plans earlier this month. RBS added it expects Ryanair to increase its guidance at the announcement of its 3Q2009-10 results, but this move has already been anticipated by the market, and there is now a lack of newsflow to continue driving the stock up."

Air Berlin passenger volume falls in 2009

"Germany's second-largest airline company Air Berlin said Monday that its passenger volume decreased 3.9 percent during 2009 as a result of the global economic crisis. Air Berlin transported a total of 27.9 million passengers over the whole year of 2009, slumping from 29 million in 2008, according to the company. "One of the reasons for this decline is that the accumulated capacity was reduced by 2.6 percent," the Berlin-based company said."
Source: Xinhua News Agency

Ryanair loses screen-scraping case

"A court in Barcelona has upheld a decision which allowed Spanish online travel agency eDreams to continue selling Ryanair seats. The case in Spain has been running for two years, with Ryanair appealing a decision made nearly a year ago. It initially came about as part of Ryanair’s Europe-wide offensive against screen-scrapers. eDreams was one of the largest businesses accused by the airline of contravening the terms and conditions of Ryanair.com. eDreams is owned by venture capitalists TA Associates, which backed a £100 million-plus leveraged buy-out in October 2006. Reports from Spain said Ryanair has had to pay the costs of the appeal."

Ryanair on hold after update

"Commerzbank has reiterated its hold stance of no-frills airline Ryanair with a target price of €3.50 after an update on the group's long-term strategy. The German broker says that following the cancellation of the large Boeing order at the end of last year Ryanair will concentrate on optimising yields and profits in fiscal year 2014 and 2015. As a result, capex will be significantly reduced and a one-time cash distribution will be on the agenda,it says."

Ryanair Flight from Tampere Makes Emergency Landing

"A Ryanair plane that departed from Tampere on Sunday was forced to make an emergency landing in Sweden. The pilot made the decision to land after noting a problem with the plane’s motor. The aircraft, which was heading for Frankfurt, Germany, landed at the Skavstan Airport near Nyköping in southeast Sweden. The landing was smooth. However, technicians decided to keep the plane grounded, reported Sweden’s public television company SVT. Swedish aviation officials confirmed the plane had a motor problem."

Ryanair 'unlikely' to bid again for rival

"Ryanair said it was 'highly unlikely' to make another bid for Aer Lingus, Ireland's struggling flag carrier, even though the no-frills airline confirmed it was putting..."

Ryanair to keep flying domestically in Italy

"Ryanair backed down Thursday from a threat to ground its domestic flights in Italy after aviation officials agreed to limit the types of ID documents passengers can show at airport gates. Under a deal with Italy's civil aviation authority, known by the acronym ENAC, passengers flying Ryanair will still be required to show a passport or a national identity card when boarding domestic flights, the carrier said in a statement."

Vueling agrees for Iberia to control its handling unit

"Spanish low-cost air carrier Vueling agreed for national flag carrier Iberia to take control of its handling unit after the merger with its Spanish peer Clickair. Iberia, holding 45.85% of the capital of Vueling, has set the control of the handling operations as a condition to give the green light for the merger, Spanish daily Expansion said."
Source: Spanish News Digest

Ryanair must respect Italian rules -minister

"Irish airline Ryanair Holdings Plc must observe Italian rules on passenger documentation if it wants to operate in the country, Infrastructure Minister Altero Matteoli said in an interview published on Thursday. The low-cost carrier said in December it would stop domestic flights at 10 Italian airports from Jan. 23 in a row with civil aviation authority ENAC over security standards for check-in documents. ENAC and Ryanair officials are meeting on Thursday to discuss safety rules. "If it (Ryanair) wants to operate in Italy, it must respect rules on documents imposed by ENAC on everybody. On this no mediation is possible," Matteoli was quoted as saying by La Stampa newspaper."
Source: Reuters News

Jane Desforges remortgages Crewkerne home to fund son's £80,000 pilot training

"A mother has been overwhelmed with support for her campaign to allow trainee pilots to qualify for the same educational funding as other students. Jane Desforges, 46, from Crewkerne, began her campaign after having to take out a second mortgage to fund her son Oliver’s £80,000 pilot training course. The mother of two feels the current regime is unfair for young people from poorer backgrounds and that the Government should help with the fees. Mrs Desforges’ 23-year-old son completed his training and has now secured a position with Flybe after initially being unable to find a job. He is based on the Isle of Man and is due to complete his on-the-job training this week."

Ryanair jet forced into emergency landing over fears of on-board fire

"The plane, which was heading to Agadir in Morocco from Liverpool's John Lennon Airport, made a u-turn in mid-air after a fire indicator light was activated in the cockpit. The Boeing 737 was forced to return to the airport and make an emergency landing less than half an hour after take-off. The 116 passengers and crew scrambled onto inflatable emergency slides to evacuate the plane and were rushed away from the aircraft by coach. No injuries have been reported and Ryanair arranged a spare aircraft to fly the delayed passengers on to Agadir."

Enac Ready To Give Ryanair's Italian Slots To Others

"Ryanair's slots at Italian airports could be assigned to another carrier if the Irish company decides to leave Italy, the chairman of civil aviation regulator Enac said Sunday. In an interview with Italian daily Il Messaggero, Vito Riggio said slots are not allocated to airlines for pleasure, but must be used. Giuseppe Gentile, chief executive of carrier Air Italy, said Sunday in an interview with financial daily Il Sole 24 Ore that his company is ready to substitute Ryanair if it decides to leave Italy."
Source: Dow Jones International News

OFT accuses Ryanair of 'almost taunting' passengers with 'puerile' charges

"Budget airline Ryanair has been accused of being 'puerile' and 'childish' and acting 'outside the spirit of the law' over parts of its charging policy. John Fingleton, chief executive of the Office of Fair Trading (OFT) attacked the company for fees that are added when customers pay online. He singled out the practice of levying fees by adding charges to payments made with a Visa Electron Visa debt card."

Italy might sue Ryanair in check-in row

"Italy's civil aviation regulator said on Wednesday it might sue Irish low-cost carrier Ryanair Holdings Plc for libel in a row over security check-in documents. The Irish airline said last week it would stop domestic flights at 10 Italian airports from January 23 because of reduced security in check-in measures. Ryanair objects to a decision by ENAC, the civil aviation body, to lower requirements on documents presented by passengers. ENAC Chairman Vito Riggio told Reuters he was studying possible cases of libel against Ryanair. He said security standards at Italian airports were certified by international bodies."

Europe’s chief executives see sluggish 2010

"Michael O’Leary, head of low-cost airline Ryanair, is as brash and gung-ho a chief executive as you could meet. So when he says that the key word of 2010 will be “austerity” it gives an insight into what chief executives across Europe and indeed most of the western world are thinking. Europe's top executives face another tough year“2010 is a year to be very conservative,” he says. His advice to companies for this year is simple: “Hack your costs and try to streamline your businesses.”"

Air Berlin 737 overruns on take-off at Dortmund

"Passengers on board an Air Berlin Boeing 737-800 have escaped uninjured after the aircraft overran the runway during take-off at Dortmund. The aircraft was operating flight AB2450 to Las Palmas in the Canary Islands. Images from the scene show that the aircraft has come to rest apparently with its nose in contact with the ground, although the extent of any damage is unclear."

Could Monarch be next airline to crumble?

"Charter carrier Monarch has denied that it has run into financial difficulties after bookmakers slashed the odds on it becoming the next airline to go bankrupt. Paddy Power cut the odds on Monarch being the next airline to go under from 50-1 to 4-1 favourite. This follows a flurry of more than 100 bets on the Luton-based group over the previous week. The move has shifted Wizz Air into joint second-favourite, alongside Finnair at 11-2."

Ryanair provokes discontent of French authorities, trade unions

"Some actions of Irish low-cost airline Ryanair have provoked the discontent of French regional authorities and trade unions, daily Les Echos reported today. The airline has been severely criticised after it threatened to stop flights on the route Angouleme-London. The company said it would stop flights on that destination if it does not receive a subsidy of EUR 175,000 (USD 250,999) from the Charente department authorities. For their part, the local authorities are not ready to provide such a sum given the fact that in 2007 they granted Ryanair EUR 925,000 in an attempt to convince the company to start operation in the Charente department."
Source: French News Digest

easyJet CEO resigns

"Andy Harrison, easyJet’s chief executive officer, has resigned and will remain in his role until June 30 2010. The low-cost carrier says Harris’s contract was amended in June after changes to easyJet’s senior management team. Jeff Carr, easyJet’s former chief financial officer resigned in May and the airline is still looking to find a replacement. Wednesday, easyJet also appointed Michael Rake as chairman of the group to replace David Michels, effective January 1 2010. Michels will be senior independent director.
Source: Airfinance Journal

Ryanair suspends Italian domestic flights

"From January 23, budget airline Ryanair is to suspend domestic flights to and from airports within Italy, after laws on ID are relaxed. In November, Italian civil aviation authority ENAC introduced national legislation allowing passengers to travel domestically with forms of identification other than passports, such as Italian AT/BT cards, employment IDs and Italian fishing or hunting licences."

Pisa airport operator says it will fine Ryanair if flights cancelled

"An Italian airport operator yesterday claimed that Ryanair would have to pay penalties to it if the airline cancels flights as part of a continuing dispute with the country’s civil aviation regulator over check-in documentation. Società Aeroporto Toscano (SAT), which operates Pisa airport in Tuscany, said Ryanair had a contractual obligation to meet certain passenger targets. Failure to do so would result in it having to pay the airport operator a penalty fee. “Such a contract foresees the payment of penalties to SAT in the case that even part of the flights are cancelled,” SAT said in a statement."

Gib EasyJet Passengers in Malaga Emergency Evacuation

"After a safe landing passengers on the Gatwick-Gibraltar easyJet flight yesterday found themselves having to emergency evacuate at Malaga Airport after apparently being struck by lightning. AENA the airport company confirmed the incident stressing that it had been a precautionary measure by the captain and that there were no injuries. The strike occurred after the airplane had come to a standstill."

SkyEurope insolvency proceeding suspended due to lack of bankrupt assets

"Due to a lack of bankrupt assets the district court in Bratislava accepted the liquidator's motion to suspend bankruptcy proceedings concerning the insolvent Slovakian-Austrian low-cost airline SkyEurope. One reason for stopping the proceedings were the growing court costs. At the moment the assets of SkyEurope have been estimated to be EUR 5.7 million (USD 8.21 million), although they consist mainly of outstanding claims."
Source: APA Economic News Service

Ancillaries: The last drop

"Once upon a time things were simple. Budget carriers got you from A to B, all frills excluded. With legacy airlines you could expect perks, like meals in economy. Next came the Internet add-ons: car hire, hotels, travel insurance. Then things became a bit blurred. Economy meals on legacy carriers began to disappear and all of a sudden everyone was unbundling. The low-costs pushed harder still, breaking out even the basics like check-in and checked bags."

Easyjet cancels flights from Stansted

"Passengers hoping to get away for Christmas from Stansted airport with Easyjet are facing problems today. The budget airline has cancelled services to Edinburgh, Copenhagen and Oviedo, in Spain. Inbound flights from all three destinations have been cancelled, along with a flight from Faro, in Portugal. Passengers have been advised to check the company’s website at www.easyjet.com for the latest travel information."

Ryanair passenger describes Prestwick runway skid

"A Ryanair aircraft from Dublin has skidded off the end of a runway as it landed at Prestwick Airport in the west of Scotland. All 129 passengers have been taken off the plane and Strathclyde Police said there were not believed to have been any injuries. Alex Paton, a passenger onboard the flight, told the BBC's Sophie Long that there was black ice on the runway."

Ryanair threatens to stop local flights in Italy

"Ryanair is threatening to stop domestic flights in Italy starting next month amid a dispute with the country's authorities over new rules on ID documents that passengers can show at airport gates. Domestic flights operated at 10 Italian airports, including Rome and Milan, will be grounded from Jan. 23 until the issue is resolved, the Irish budget airline said in a statement posted Wednesday on its Italian Web site."

A different story about Ryanair

"Ryanair has come under attack (again) after passengers stranded on a delayed flight were refused refreshments, leaving them nothing to eat or drink but ice cubes. The Stansted to Dinard flight was left waiting on the tarmac for over four hours whilst the runway was cleared of snow. Passengers complained about the heat on board and asked for refreshments only to be told they were not allowed because the flight had not taken off. When they asked to be let off the plane, they were told they had to stay where they were until the runway was cleared. The plane was still on the ground at 8pm after it had been scheduled to take off at 3.50pm. Imagine that in a 30 inch pitch seat. Stuck with in such a seat with hot, sweaty, thirsty and unhappy people. Its a miracle nobody went 'postal'. (...) Note to anyone who faces this situation - use your phone and call media people and tell your story. Twitter about it. The more "news" you make the better. And do take as many images as you can. Upload immediately to the web if you can. Information is the last line of defense consumers have when they are being treated badly. Fortunately we live in a time where you, the consumer, control information flow. Use your power freely."
Source: BlackProgram

Ryanair: Jet Slides Off Runway Amid Icy Road Warnings And More Airport Problems

"A passenger jet slid off the runway at Prestwick airport in Ayrshire this morning as harsh weather conditions continued to cause travel chaos. The Ryanair plane hit a patch of ice and skidded onto the grass moments after landing just after 9am. No one was hurt and all the passengers were bussed to the terminal. Ryanair apologised for the disruption."

Snowbound Ryanair passengers left eating ice cubes

"Ryanair has come under attack after passengers stranded on a badly-delayed flight were refused refreshments, leaving them nothing to eat or drink but ice cubes. The Stansted to Dinard flight was left waiting on the tarmac for over four hours whilst the runway was cleared of snow. Passengers complained about the heat on board and asked for refreshments only to be told they were not allowed because the flight had not taken off. When they asked to be let off the plane, they were told they had to stay where they were until the runway was cleared. The plane was still on the ground at 8pm after it had been scheduled to take off at 3.50pm."

Lunch with the FT: Michael O’Leary

"“Here,” says Michael O’Leary, shoving something the size of a small grapefruit wrapped in red and white cardboard over the table in his office at Dublin airport. “Lunch.” There is an awkward silence. You do not expect a banquet from a budget airline boss who has threatened to make his passengers pay to use the toilet. And you do not want to upset a man who calls regulators “rapists”, rivals “arseholes”, and advises customers wanting a refund to “f*** off”."

WizzAir: Airline under attack over cancelled flight

"A low-cost airline came under attack today after leaving passengers sitting on a UK-bound plane in Prague for more than three hours before cancelling the flight and telling people they had to make their own way home. Staff on the Wizz Air plane told people the flight had been cancelled because of weather-related problems at Luton airport. Passengers sat for hours on the plane at Prague before being told to disembark, and later hit out at the airline. 'It was just outrageous to leave us sitting there for so long before telling us we would have to make other arrangements,' said one."

Ryanair signals new strategy by ending Boeing talk

"Ryanair's main rival, Easyjet, interpreted the withdrawal from the aircraft purchase as a sign that the era of rapid growth in budget airlines and their fleets was coming to an end. 'The era of endless fast growth and even larger aircraft fleets is near its end. Low-cost airlines are now the mainstream way to fly in Europe. As such, it's getting difficult to find significant new passenger traffic which is profitable,' Easyjet founder Stelios Haji-Ioannou told the Guardian newspaper."

Ryanair to pay dividends after talks fail

"Ryanair's Michael O’Leary will be recommending a 'very large' bonus for himself following the collapse of negotiations with Boeing on the purchase of new aircraft. The airline will also have money to pay a dividend to shareholders from 2013 as it will not be spending the cash on the aircraft, according to Mr O’Leary. Speaking to the Irish Examiner, he said he feels he deserves a very large bonus and added that he will never enter into negotiations with Boeing again."

O'Leary plans to retire as Ryanair chief once cost-cutting is finished

"Ryanair chief executive Michael O'Leary is ready to retire in three years, when the low-cost airline will need a different style of manager, he told the 'Financial Times' newspaper in a weekend interview. He also launched a typically scathing attack on US planemaker Boeing over failed negotiations to buy 200 new airliners. 'Our share price has suffered uncertainty over the last six months and eventually you lose patience with a bunch of idiots who can't make a decision,' he said."

Ryanair: Pilot can proceed in High Court bid

"Ryanair pilot and trade union activist Captain John Goss may proceed with part of his High Court bid to stop what he says are "contrived" disciplinary proceedings against him, a judge has ruled -- opposing Ryanair's request that the "scandalous" claims be stopped. He may not, however, refer to a settlement of an earlier action by him against Ryanair also over similar allegedly "bogus" disciplinary proceedings, Mr Justice Roderick Murphy ruled yesterday.
Source: Irish Independent

Report: Single Aisle Airliner Re-Engine Program

Airbus and Boeing are virtually certain to launch re-engining (RE) programs for the A320 and 737 families because customers are increasing pressure to provide dramatic Specific Fuel Consumption (SFC) improvements in the near term, preferably within the next five or six years. With Airbus and Boeing now stating that current generation single-aisle airplanes will be produced well into the 2020 decade. Cost overruns on the A380, A400M, 787 and 747-8 programs, with significant customer penalties, means neither Airbus nor Boeing can afford new airplane programs now.

16 p. 299 US$

Non-Europeans being stung for hidden airline charges

"Anyone living in the UK is sure now to be aware that when booking with budget carriers, to really study the small print and to try our hardest to find out if there are any hidden charges. However, for those that are coming from outside the EU, and do not read the local press they are becoming unstuck at airport check-in desks. Simple connecting flights to a city from a major hub with any of the low-cost carriers can end up adding a hefty amount to their bill."