Tag Archives: Stansted

Ryanair to add Deauville, France on April 3, 2015

Ryanair (Dublin) has announced that it is extending it’s summer 2015 schedule from London Stansted Airport, with a new route to Deauville, France. This is in addition to the previously announced four new summer 2015 routes to Ponta Delgada (Azores), Cologne, Glasgow and Edinburgh and increased flights on 24 existing routes to and from London (Stansted).

The new route to Deauville will operate twice weekly on Mondays and Fridays from April 3, 2015.

Reported by Assistant Editor Oliver Wilcock from Manchester.

Copyright Photo: SM Fitzwilliams Collection/AirlinersGallery.com. Up close and person. Boeing 737-8AS EI-EVK (msn 40298) launches into the sky at the Dublin base.

Ryanair aircraft slide show: AG Slide Show

Aegean Airlines adds more routes for the winter and next summer

Aegean Airlines (Athens) is adding more destinations and frequencies to its existing network. Aegean has announced the operation of nine additional international flights from Athens, compared to the winter of 2013.

Aegean will also extend the operation of 8 summer seasonal flights into the winter period. The airline will also resume flights from Athens to Cairo. The winter timetable will operate from October 26, 2014 until March 28, 2015.

2014 summer flights from Athens to Stockholm, Copenhagen, Manchester, Zurich and Marseille will be continued into the winter season.

During the winter season, beginning on October 26, Aegean will continue to operate flights to Abu Dhabi, Beirut, Amman, while the company will resume flights to Cairo after a three year hiatus.

The company is also increasing the frequencies on routes from Athens to Barcelona, Berlin, Budapest, Düsseldorf, Geneva, Vienna, Prague, Warsaw, Rome and Tel Aviv.

Aegean will also increase the size of its fleet with the order of seven new Airbus A320s, equipped with the new “Sharklets” on their wings, which will be delivered directly from the manufacturer. The deliveries of the seven new aircraft will begin in June 2015 and will be completed in early 2016.

Aegean currently operates 205 international routes, from its eight Greek bases.

Increased frequencies on existing routes:

Athens – Barcelona from 3 to 4 weekly,
Athens – Berlin from 3 to 5 weekly, additional frequencies in Christmas season
Athens – Budapest from 2 to 3 weekly, additional frequencies in Christmas season
Athens – Dusseldorf from 2 to 4 weekly
Athens – Geneva from 3 to 4 weekly
Athens – Vienna from 4 to 5 weekly, additional frequencies in Christmas season
Athens – Tel Aviv from 5 to 6 weekly
Athens – Prague from 3 to 5 weekly, additional frequencies in Christmas season
Athens – Warsaw from 4 to 5 weekly
Athens – Rome from 9 to 12 weekly

For the Summer 2015 schedule, the airline will launch of 23 new routes. These new routes are mainly focusing on Corfu, Irakleion and Rhodes according to Airline Route.

Planned new summer service:

From Corfu to Paris and Rome

From Heraklion to Amsterdam, Copenhagen, Geneva, Istanbul (Sabiha Gokcen), London (Gatwick), Metz, Milan (Malpensa), Nantes, Prague, Rome (Fiumicino), Stockholm (Arlanda), Stuttgart and Toulouse

From Rhodes to Amsterdam, Geneva, Larnaca, Lyon, Stuttgart, Tel Aviv and Vienna

Copyright Photo: Pedro Pics/AirlinersGallery.com. Airbus A320-232 SX-DVJ (msn 3365) departs from London (Stansted).

Aegean Airlines: AG Slide Show

Aegean is celebrating this award from Skytrax:

Aegean FA-Best Regional (Aegean)(LRW)

 

Air France-KLM to retire the Martinair McDonnell Douglas MD-11 freighters in 2015 and 2016, will expand Transavia leisure flights

Air France (Paris) and KLM Royal Dutch Airlines (Amsterdam) (Air France-KLM Group) issued this statement about its shrinking and unprofitable freighter fleet including Martinair‘s (Amsterdam) McDonnell Douglas MD-11 freighter fleet:

At its meeting on September 4, 2014, the Air France-KLM Board of Directors examined the findings of the strategic review of its full-freighter operations which was launched earlier this year.

On top of the ongoing reduction of the full-freighter fleet, and facing a slower than expected recovery in demand, the Board of Directors has decided to reduce the full-freighter fleet based in Amsterdam to 3 aircraft in operation by the end of 2016. Five MD-11s will be phased out on an accelerated basis during 2015 and 2016.

By then, the Group will operate five full-freighter aircraft: 2 Boeing 777Fs in Paris and 3 Boeing 747 ERFs in Amsterdam, compared with a total of 14 in 2013.

The group intends to find alternative employment internally for all affected staff. It will engage in consultations on this matter with the Works Council and trade unions of the companies involved.

The Group will remain a major player in the cargo sector in Europe through its extensive belly network effectively supplemented by a limited number of full-freighter aircraft.

This adjustment of the full-freighter fleet is part of a broader strategic vision designed to increase cargo contribution to the group. Other measures include a strong focus on specialized products such as pharmaceuticals and express, as well as investment in state-of-the-art IT infrastructure and E-developments, further cost reduction and expansion of partnerships.

In other news, the Air France-KLM Group will expand its leisure operations under the Transavia brand with new bases outside of Paris and Amsterdam. The Group issued this statement:

At its meeting on September 4, 2014, as proposed by its Chairman and CEO Alexandre de Juniac, the Air France-KLM Board of Directors approved the group’s development project on the leisure market in Europe.

This development will take place under the Transavia brand from the two existing airlines – Transavia France and Transavia the Netherlands – and new bases will be opened in other European countries.

This project will strengthen the development of Transavia France (Paris) and Transavia Airlines (Amsterdam) in the Netherlands. The terms of these developments are the subject of consultations in both countries.

The group is positioning itself as a major player in this rapidly growing market in Europe.

This project is part of the group’s new plan for growth and competitiveness, Perform 2020, which will be presented in details to investors and to the press on September 11.

Air France-KLM have also unveiled its new “Perform 2020″ program which replaces its “Transform 2015″ program. Here is the formal plan:

Air France-KLM unveiled its new Perform 2020 strategic plan.

Perform 2020 is the successor to Transform 2015, which represented the first phase in the Group’s turnaround. While maintaining the imperatives of competitiveness and the ongoing strengthening of the Group’s financial position, this growth plan will focus on the following three strategic areas:

  •   Selective development to increase exposure to growth markets
  •   A product and services upgrade targeting the highest international level
  •   An ongoing improvement in competitiveness and efficiency within the framework of strictfinancial disciplineAir France-KLM’s Chairman and Chief Executive Officer, Alexandre de Juniac, made the following comments:
    “Transform 2015 will be completed by the year end having fully delivered on its objective of significantly improving the Group’s competitiveness and delivering a €1 billion-plus reduction in costs. Perform 2020, the strategic plan we are launching today, will be supported by two main levers: growth, which we are looking to capture in a number of areas, and competitiveness combined with financial discipline which should continue to ensure firm foundations for the development of Air France-KLM. This is why the ambitious initiatives we are launching today will go hand in hand with redoubled efforts to reduce costs and restructure activities which remain loss-making. By 2020, we will have built an air transport Group focused on a leading long-haul network at the heart of global alliances, with a portfolio of unique brands, restructured short and medium-haul operations with a reinforced presence in the low cost segment in Europe, leadership positions in cargo, maintenance and catering, and a significantly improved risk profile both operationally and financially.”

    1 See definition in appendix
    2 At constant currency, fuel price and pension cost

Business review

In an environment which remains challenging but with profitable growth opportunities across all the Group’s markets, Air France-KLM plans to reinforce its key strengths, namely its network, its products and services, and its brands, while adjusting its portfolio of activities.

The development of the passenger hub business based on an upgraded product offer, an increased customer focus and a stronger positioning of brands. Benefiting from the broadest long-haul network on departure from Europe, the Group will be able to continue to capture growth opportunites particularly via the reinforcement of strategic partnerships.

The Group will maintain strict capacity discipline with growth in passenger capacity expected to be around 1% to 1.5% for the 2015-2017 period.

The Group will continue to restructure its point-to-point operations, aiming at a return to operating breakeven by 2017. In addition to the full impact of the measures launched in 2013, this objective will be reached thanks to new initiatives to restructure the network and reduce costs, together with the creation of a single business unit combining HOP and the Air France point-to-point operations.

The accelerated development of Air France-KLM in the European leisure market, under the Transavia brand, based on the two existing companies – Transavia France and Transavia Netherlands – and new bases to be created in other European countries. In a growth market, the Group plans to build on the results achieved within the framework of Transform 2015 to move to a more pan-European scale. By 2017, Transavia will rank amongst the leading low cost carriers in Europe, operating a fleet of 100 aircraft and carrying more than 20 million passengers. This business should contribute an additional €100 million of EBITDAR in 2017. With profitability being impacted by ongoing ramp-up costs, the Group is targeting operating profits by 2018.

The finalization of cargo repositioning: a significant reduction in the full-freighter fleet, from 14 aircraft in operation in 2013 to 5 aircraft at the end of 2016, should enable this business to return to operating breakeven in 2017 (versus a loss of €110 million in 2013 and a €200 million loss including bellies). The group will maintain a small full-freighter fleet as an important commercial lever to support its revenue premium on bellies. The Group will remain a major player in the European cargo sector thanks to its extensive belly network, but with only very limited remaining exposure (15% of capacity) to full-freighter volatility.

The recent development of the maintenance business has proven successful, with increased profitability and rapid growth in the order book. The Group will pursue its growth in this segment, particularly in engines and components, including via targeted acquisitions. This business should generate an additional €50 million to €80 million of EBITDAR in 2017, depending on acquisitions.

From a selective capex management while adopting a disciplined approach to growth opportunities. financial perspective, Air France-KLM plans to pursue the reduction in its unit costs and The Group will leverage the structured approach implemented within the framework of Transform 2015 to maintain unit cost reduction at an annual rate of 1% to 1.5%. To achieve this target, the group will go beyond traditional efforts directed at reducing unit costs (e.g. reduction in external expenses, purchasing policy and renewal of the long-haul fleet). This will involve the ongoing restructuring of uncompetitive activities and implementing a systematic review of processes using benchmarking based on profit centers. It will also entail negotiating with staff on the achievement of productivity gains paving the way to growth.

A progressive increase in fleet capex will be undertaken within the framework of strict capex control. Investment will remain below its pre-2012 level. Dedicated sources of funding will be allocated to significant development opportunities to ensure control over credit ratios. For example, the first phase in Transavia expansion will be financed by the €339 million proceeds generated from the partial disposal of Amadeus shares on September 9.

Medium-term financial targets to 2017

As a result of all these initiatives, Air France-KLM has set itself the following Group financial targets:

  •   EBITDAR up by 8% to 10%5 per year between 2013 and 2017
  •   An adjusted net debt/EBITDAR4 ratio of below 2.5 in 2017
  •   Base businesses to consistently generate annual positive free cash flowThese targets are consistent with a ROCE of 9% to 11% in 2017.

Read the analysis by Bloomberg Businessweek: CLICK HERE

Top Copyright Photo: Keith Burton/AirlinersGallery.com. Martinair’s McDonnell Douglas MD-11 (F) PH-MCS (msn 48618) prepares to land at London’s Stansted Airport.

Air France: AG Slide Show

KLM: AG Slide Show

Martinair: AG Slide Show

Transavia Airlines (Netherlands): AG Slide Show

Transavia Airlines (France): AG Slide Show

Bottom Copyright Photo: Ton Jochems/AirlinersGallery.com. Transavia Airlines’ (Netherlands) Boeing 737-8K2 PH-HZA (msn 28373) with a Kulula underside taxies at the Amsterdam base.

 

Ryanair posts a fiscal first quarter net profit of $264.1 million, an increase of 152%

Ryanair (Dublin) has announced a fiscal first quarter (Q1) net profit of €197 million ($264.1 million), an increase of 152% over last year.

The ultra low-fare airline cautioned that this result was distorted by the timing of a very strong Easter in Q1 with no holiday period in the prior year comparable. Traffic grew to 24.3 million as load factors rose by 4% points to 86%. Average fare rose by 9%, boosted by a strong Easter period, while total revenues were up 11% to €1.496 billion. Unit costs fell by 2%, excluding fuel they rose by 1%.

Ryanair’s Michael O’Leary said:

“Q1 profits were boosted by a strong Easter (but are somewhat distorted by the absence of Easter on the prior year Q1). The earlier launch of our summer schedule and actively raising our forward bookings has delivered a 4% increase in load factor to 86% and enabled us to better manage close-in yields. Ancillary Revenues rose 4% in line with traffic growth, as airport and baggage fee reductions were offset by the rising uptake of allocated seating.“

New Routes and Bases.

Our four new bases at Athens, Brussels, Lisbon and Rome are performing strongly, as customers switch to Ryanair’s lower fares and our industry leading customer service. Our strategy to raise forward bookings continues to drive higher load factors and we expect to release our summer 2015 schedule in mid-September, some 3 months earlier than last year.

This winter we will open four new bases in Cologne, Gdansk, Warsaw and Glasgow (Intl.) as well as substantially increasing new routes and frequencies at Stansted and Dublin as we invest heavily in our network to build schedules on key city pairs to make them more attractive for business customers.

We are overrun with growth offers from primary European airports whose incumbent flag and regional carriers continue to cut capacity and traffic. These new airports along with our existing 69 bases offer Ryanair significant growth opportunities as the first of our 180 new Boeing order delivers this September. These new aircraft, with the benefit of the much weaker US$, will drive significant cost efficiencies over the next 5 years.

Customer Experience Improvement.

Our “Always Getting Better” program has delivered significant improvement to the customer experience. In addition to the initiatives launched last September which included allocated seating, free second carry-on bags, and an easier to use website with a “fare finder” facility, we launched our family product in June. In July we released our industry leading mobile app (including mobile boarding passes) which has been very positively reviewed by independent commentators and our customers and has reached 1m downloads in the 10 days since its release. In September we will launch Ryanair’s business service which will include same day flight changes, bigger bag allowances, premium seat allocation, and fast-track through security at many Ryanair airports. This new service along with our new routes, improved schedules and wider GDS distribution, will make Ryanair’s low fares much more accessible to, and attractive for business customers. We will continue this winter to rapidly develop both our website and mobile platform to deliver more innovative features and services in addition to the lowest fares to our customers.

Fuel

We are 90% hedged for FY15 at approx. $96 p.bl, which will deliver savings of €50m this year at current market rates. This is lower than the €70m previously guided due to increased volumes in H2. We have also hedged 55% of our H1 FY16 fuel needs at approx. $95 p.bl and weaker US$ which will deliver a 2% fall in our unit fuel cost at current market rates.

Bond Issue

The BBB+ rating awarded by S&P and Fitch makes Ryanair the highest rated airline in the world. This rating reflects the strength of our Balance Sheet and our highly cash generative business model and enabled us in June to issue our first €850m unsecured Eurobond at a coupon of 1.875% fixed for 7 years. This attractively priced financing (which was 7 times oversubscribed) will further reduce our aircraft ownership costs over the next 5 years.

Shareholder returns

In FY14 we completed €482m of share buybacks as part of our commitment to return €1 billion to shareholders over a 2 year period. We now plan to return another €520m via a special dividend of 37.50 cents per ordinary share (subject to AGM approval) to be paid in Q4 FY15. This brings the total returns to shareholders since 2008 to over €2.5bn which is more than 4 times the €585m originally raised from shareholders since our 1997 IPO.

Outlook

Based on these Q1 results and our strong forward bookings it is clear that we are on track to deliver a strong H1, during which traffic will grow by 3%, and fares will rise by 6% subject to late booking fares in Aug. and Sept. However we would strongly caution both analysts and investors against any irrational exuberance in what continues to be a difficult economic environment, with some company-specific challenges in H2.

We expect H2 to be characterized by a much softer pricing environment as many competitors are lowering fares, partly in response to Ryanair’s strong forward bookings. Added to this Ryanair will aggressively raise capacity this winter by 8% (7% in Q3 and 10% in Q4) to take advantage of growth discounts and build out business friendly frequencies from Dublin and Stansted in particular. These initiatives will inevitably put downward pressure on fares and (mindful of last winter’s weak pricing environment) we continue to expect H2 yields to fall by between 6% to 8% which will result in full year yields rising by only 2%. Unit costs (ex-fuel) for FY15 will rise by approx. 4%, which is slightly better than the 5% increase we originally guided, due to higher H2 traffic volumes which will be positive for unit costs.

In summary, we now expect full year traffic to grow by 5% to 86m. This increased traffic and higher load factors, combined with a slightly improved performance on unit costs allows us to cautiously raise our full year profit after tax guidance (from the previous range €580m to €620m) to a range of €620m to €650m. However this guidance, which is about a 21% rise over last year’s net profit, is heavily, reliant upon the final outturn for H2 yields over which we currently have zero visibility”.

Copyright Photo: Keith Burton/AirlinersGallery.com. Boeing 737-8AS EI-CSW (msn 29935) in the old small-titled 1994 livery arrives at Stansted Airport near London.

Ryanair:

 

Ryanair to launch three new routes to and from Scotland on October 26

Ryanair (Dublin) has announced significant growth for Scotland with three new routes between Edinburgh and London (Stansted), Glasgow and London (Stansted) and Glasgow and Dublin (three times daily), as well as a new base at Glasgow International (Ryanair’s 69th in total).

Ryanair’s existing once daily flight from Glasgow Prestwick to Dublin will now switch to Glasgow International as part of an expanded three times daily business service between Glasgow and Dublin. Despite this switch Ryanair remains committed to its long standing base at Prestwick where the airline has a major maintenance facility and is currently in discussions with Glasgow Prestwick and the Scottish Government, its new owners, to explore growth opportunities to/from Prestwick Airport.

From October 26, 2014, Ryanair will base three Boeing 737-800s at Edinburgh, one at Glasgow (International) and one at Glagow (Prestwick).

Copyright Photo: Paul Bannwarth/AirlinersGallery.com. Boeing 737-8AS EI-DLB (msn 33584) taxies at Nantes.

Ryanair: AG Slide Show

Germanwings to fly the Dusseldorf-London Stansted route

Germanwings (2nd) (Cologne/Bonn) will fly the Dusseldorf-London (Stansted) route starting on August 22. According to Airline Route, the route will initally be operated with Bombardier CRJ900s but will be upgraded to the pictured Airbus A319 starting on October 26.

Copyright Photo: Rolf Wallner/AirlinersGallery.com. Airbus A319-132 D-AGWS (msn 4998) holds short of the runway at Zurich Kloten Airport (ZRH).

Germanwings: AG Slide Show

 

Thomas Cook Airlines to operate long-haul flights from London’s Stansted Airport

Thomas Cook Airlines (UK) (Manchester) has announced that for the summer schedule of 2015, it will operate long-haul flights from London’s Stansted Airport to Orlando, Cancun and Las Vegas, becoming the only airline to offer a long haul program from the airport.

Last year, Thomas Cook Airlines announced that from this June it will operate two aircraft from Stansted  Airport – using the larger Airbus A321 aircraft replacing the existing Airbus A320 – bringing an increased amount of flights and holidays which are now on sale for holidaymakers from the East and South East of England to a range of new destinations.

With the long-haul flights on a larger Airbus A330, the additional flights in 2015 will begin on the weekend of Friday, July 17, 2015 with two flights a week to Orlando and one per week to both Cancun and Las Vegas – and continue up until August 17, 2015.

In other news, the airline also announced that for the summer of 2015, it will operate a weekly flight to Las Vegas from Glasgow Airport following a series of one-off flights to the U.S. in recent summers. Operating each Monday with the Airbus A330 fleet, the new flights in 2015 will begin on Monday 4 May 4, 2015 and continue until October 31, 2015.

Previously the airline announced new Airbus A330 routes from Manchester to both New York (JFK) and Miami.

Copyright Photo: Keith Burton/AirlinersGallery.com. Airbus A330-243 G-OJMC (msn 456) approaches the runway at London’s Gatwick Airport (LGW).

Thomas Cook Airlines (UK): AG Slide Show

Thomas Cook (UK) Sunny Heart logo