O'Leary criticises State involvement in aviation

Ryanair chief executive Michael O’Leary has criticised the structure of Irish aviation and the high level of involvement by the State.
At a policy conference in Dublin yesterday he said the Government was “incapable of producing services efficiently”. He reiterated his view that the Dublin Airport Authority should be broken up and privatised, and that the Commission for Aviation Regulation should be closed.
“Call [estate agent] Sherry Fitzgerald today and put them [Dublin, Cork and Shannon airports] up for sale,” Mr O’Leary told the conference on aviation policy for Ireland at the Convention Centre Dublin.
“We need to do something different, we have got to get the Government out of producing airport infrastructure,” he added.
Mr O’Leary restated Ryanair’s desire to acquire Aer Lingus and called on the Government to sell him its 25 per cent stake in the airline. He said Aer Lingus was “too small” to be able to compete with Ryanair over the long term and predicted it would struggle to survive as an independent entity.
Aer Lingus rejects criticism
“Aer Lingus does have a future except as part of one of the big five airline groups in Europe. We’d like to buy it but it certainly won’t survive as an independent airline in five years’ time.”
This view was rejected by Aer Lingus chief executive Christoph Mueller, who said that, unlike Ryanair, Aer Lingus was growing its traffic from Ireland and was now once again the biggest carrier here.
Mr Mueller said there were growth opportunities available from Ireland and noted it would add capacity to its long-haul services to the US next year.
He said Dublin Airport would not need a new runway for at least 10 years, possibly 20, due to demand constraints and existing surplus capacity.
The conference marked the beginning of a consultation period to develop a new civil aviation policy for Ireland. Minister for Transport Leo Varadkar said he was determined that whatever policy was drafted would not simply “gather dust on a shelf”.
Noting the sector is worth €4.1 billion to the economy annually, he said aviation policy had been “made on an ad hoc basis” in the past and he wanted to move to a different model.

 CIARÁN HANCOCK, Business Affairs Correspondent IT

Cork Airport Hotel staff welcome investment news

News of further investment in the 145-bed Cork International Airport Hotel has been welcomed by management and staff, as its new owner’s identity is confirmed.

The hotel has been bought from receivers Grant Thornton via Savills for about €5m by the Phillips Hotel Group.

Phillips spokesperson Vincent O’Farrell, who also has his own hospitality investments, has confirmed they will continue its management and staffing under the Tifco Group, and will look at further spending. It was built in the mid-2000s at a cost of €30-40m by developer Bernard McNamara

Hotel general manager Aaron Mansworth said: "[The staff of 80 are] delighted that the new owners have guaranteed the jobs of existing staff, and are not planning any management changes.

"The fact that they are planning investment in the property is also a vote of confidence not just in this excellent product, but in Cork Airport and the fantastic staff we have here."

The hotel went for sale in June of this year, guiding €4.75m.

Importance of Cork Airport recognised in survey

Data findings from Cork Chamber’s biennial business air travel survey, released today, reveal the critical importance businesses place on a well-serviced international airport to support and grow business activity.

The results of the survey, undertaken in association with Cork Airport, are based on data provided by 325 business owners and senior managers across a spectrum of industries primarily located in the Cork region (93pc), almost a fifth of whom employ in excess of 250 employees.
Commenting on the survey findings, Cork Chamber CEO, Conor Healy stated: "The findings highlight the critical importance businesses attach to Cork Airport and the high correlation they attribute to the performance of the airport and the economic well-being of the Cork Gateway. The fact that 16pc of businesses use the air travel services of Cork Airport on at least a weekly basis, 45pc on at least a monthly basis and almost four of every five businesses (79pc) on at a least a quarterly basis is testament to the importance of Cork Airport for businesses operating in the Cork region.  More than three quarters of businesses (78pc) believe that the level of direct air services to/from Cork Airport is a key determinant for businesses when deciding to locate or expand within the region."
Healy concluded: "The results of the 2012 survey and future projected air travel trends all reinforce the need for increased route development from Cork Airport, increased frequencies and competitive costs to sustain and grow business activity within the south of Ireland.  Equally, it is important that existing key routes to the UK and European destinations benefit from a long-term commitment by airlines and that new high demand business routes are adopted to maximise opportunities for those currently engaged in or seeking to develop business in the south of Ireland."n

Bernice Barrington

New Ryanair routes

RYANAIR has announced five new routes from Cork to cities in Eastern Europe.
The flights will go to the Polish cities of Gdansk, Krakow, Warsaw and Wroclaw and the Lithuanian capital Vilnius.
Services on the routes will begin in November 2012.
It means Ryanair's winter schedule from Cork Airport will carry over 850,000 passengers a year, sustaining over 800 on site jobs at the hub, the company said.
The five new routes go on sale at fares from just €6.99, it added.

Ryanair announces five new routes from Cork airport

Cork Airport has received a boost from Ryanair with the airline announcing the commencement from November of five new routes to Eastern Europe.

Ryanair has announced it will operate five new routes to Eastern Europe from November.
Four of the routes are to the Polish cites of Warsaw, Gdansk, Wroclaw and Krakow. The fifth new destination is to the Lithuanian capital Vilnius.
Hungarian-based carrier WizzAir currently operates similar routes from Cork.
Ryanair's deputy chief executive said he expected the routes to do very well.
He said that since Ireland took part in the European championships in Poland there has been huge interest from Polish people to visit our shores.
He said it is the same effect that happened after Italia 90 when there was a marked increase in the number of Italians visiting Ireland.
Cork Airport, he added would now have two boeing 737s permanently based there.
However, he added that the airport charges at the airport was hindering growth.

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