
Ryanair (Dublin) always famous for its comments about government agencies, has issued this new scathing comment and news:
Ryanair, the UKโs largest airline, today (31 July) announced that it would add additional daily frequencies from October on its five main Ireland-UK routes in a direct response to similar flight increases recently announced by Aer Lingus for the 2013-14 winter schedule. Aer Lingusโ decision to increase flight frequencies on these UK routes further undermines the discredited UKCC investigation into Ryanairโs 6 ยฝ year old minority (29%) stake in Aer Lingus. Confronted with incontrovertible evidence that competition between Ryanair and Aer Lingus has intensified, the UKCC has been reduced to inventing fairytale future โconcernsโ that Ryanair has โinfluenceโ over Aer Lingus or that this stake has or will lead to a lessening of competition.
The UKCC, in its provisional findings, has ignored, or excluded, 6 ยฝ years of evidence which totally disproves their bogus claims. It has failed to produce any evidence that competition would be lessened (or UK consumers penalised) when the European Commission recently (Feb 2013) prohibited Ryanairโs offer for Aer Lingus on the very grounds that competition has intensified between the two Irish airlines over the past 6ยฝ years. If, as the UKCC now claims, Ryanair has โinfluenceโ over Aer Lingus which โmightโ lessen competition, then it should explain why Aer Lingus has recently increased flights on the five main Ireland-UK routes or why Ryanair is now responding with yet more flight frequency, which will lead to lower prices and better deals for those few UK consumers who actually fly Aer Lingus.
Ryanair will add at least one additional daily return flight from October 2013 to each of its top 5 Dublin-UK routes including London (STN), Manchester, Birmingham, Edinburgh and Bristol as follows:
RYANAIR INCREASES ON 5 DUBLIN-UK ROUTES โ WINTER 2013-14
|
Route
|
Daily rotations Nov 2012
|
Daily rotations Nov 2013
|
|
Dublin โ London (STN)
|
7
|
8
|
|
Dublin โ Manchester
|
4
|
5
|
|
Dublin โ Birmingham
|
3
|
4
|
|
Dublin โ Edinburgh
|
3
|
4
|
|
Dublin โ Bristol
|
2
|
3
|
Ryanair continues to question why the UKโs OFT and CC have wasted millions of UK taxpayer funds investigating a 6 ยฝ year old failed merger between two Irish airlines (which has little, if any, impact on any UK consumers) while at the same time neither quango took any action whatsoever on behalf of UK consumers when BA acquired BMI, or previously when Easyjet acquired GB Airways. The UKCC has failed to explain this glaring lack in consistency particularly when neither the EU nor the Irish competition authorities had any concerns about Ryanairโs 6 ยฝ year old minority stake.
Since the UKCC inquiry has been unable to produce one shred of evidence that competition between Aer Lingus and Ryanair has lessened over the past 6 ยฝ years and since the UKCC has been forced to accept the EUโs ruling (that intensified competition has benefited consumers) this has reduced the UKCC to flailing around, inventing fairytale future โconcernsโ so that it can ignore the inconvenient truths of the last 6 ยฝ years of evidence.
The UKCCโs 3 fairytale future โconcernsโ are disproven by the past 6 ยฝ years of evidence as follows;
a) That Ryanair โmightโ block a rights issue by Aer Lingus: however the UKCC have ignored the inconvenient truth that over the past 6 ยฝ years โ Ryanair has repeatedly confirmed it will support take up rights to prevent dilution.
b) That Ryanair โmightโ block a disposal by Aer Lingus of its Heathrow slots (despite the fact any such disposal would lessen competition between the two airlines) while ignoring the inconvenient fact that Aer Lingus, as recently as April 2013, disposed of a pair of Heathrow slots without any objection or block by Ryanair.
c) That Ryanair โmightโ prevent another EU airline from acquiring Aer Lingus, and/or โsqueezing outโ Ryanair. Again the UKCC has ignored the inconvenient truth that over the past 6 ยฝ years, no other EU airline has shown any interest in acquiring Aer Lingus and almost all other EU airlines have publicly stated that they have no interest in acquiring Aer Lingus.
In order to destroy any remaining shred of credibility from these bogus and invented โconcernsโ Ryanair has offered toย unconditionally and irrevocably dispose of its 29% minority shareholding to any other EU airline who offers for, and successfully acquires 50.1% of Aer Lingusย (which is far below the legal 80% squeeze out threshold). This undertaking has been dismissed by many commentators on the very obvious grounds that no other EU airline wishes to acquire Aer Lingus, another inconvenient fact which the UKCC has conveniently ignored. Ryanairโs undertaking removes any possibility that it can or could block an acquisition of Aer Lingus by another EU airline and sheds this UKCC process of any credibility whatsoever.
The UKCCโs case now lies in tatters, as Simon Polito and his team flounder around, looking to invent new and even more fairytale โconcernsโ when the inconvenient truth is that 6 ยฝ years of evidence proves that Ryanairโs minority stake has resulted in intensified competition between the Irish airlines to the benefit of UK consumers. Finally, the UKCC has produced no shred of evidence whatsoever that any other EU airline โ other than Ryanair โ has any interest in acquiring Aer Lingus.
Copyright Photo: Lucio Alfieri/AirlinersGallery.com.ย Boeing 737-8AS WL EI-DCL (msn 33806) in the original Dreamliner colors taxies at Bologna.
Ryanair:ย

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