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Untie Cork airport's hands | Untie Cork airport's hands |
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| Written by Mary O’ Keeffe | |
| Thursday, 28 August 2008 | |
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Michael O'Leary, Ryanair CEO, pictured at the announcement in Cork yesterday that the airline will close two of the seven routes it operates from Cork. Picture: Daragh Mac Sweeney/Provision Ryanair Chief Michael O' Leary has spoken out against the Dublin Airport Authority's power over Cork airport saying that once again Cork is losing out as a result decision made by Dublin. The airline chief's comments came as he announced that Ryanair will be closing two of the seven routes it operates from Cork Airport. Speaking in Cork yesterday Mr O' Leary said that Ryanair would be ceasing its routes to East Midlands and Glasgow (Prestwick) following a 20 per cent increase in charges being imposed on these two routes by Cork Airport. The two routes were first introduced last winter through the airport's Route Support Scheme aimed at attracting new routes to the airport. This scheme operates over a five year period and is based on a sliding scale with a 100 per cent discount in year one. In the second year of operation, the discount moves to 80 per cent and so on over the five year period of the scheme. The daily East Midlands flight will cease on October 26 while the daily service to Glasgow will stop on October 28. According to Ryanair these cancellations will result in a loss of 100,000 passengers at Cork Airport this winter alone and will amount to a 6 per cent drop in traffic using Cork Airport. The loss of this traffic will cost Cork up to €20,000,000 annually and will result in about 200 jobs being lost. "We regret that we have to close these two daily routes to/from Cork. However, a 20 per cent increase in airport charges on these routes reduces our ability to offer really low fares at a time of higher oil prices and these higher costs will make these two new routes loss making this winter," he said. O' Leary said that they had met with Cork airport on a number of occasions to discuss the increases but, that their hands were tied on the issue as Dublin made the decisions on this discount. He criticised the fact that the DAA still had so much control over the airport and said Dublin doesn't want to see lower costs in Cork and Shannon because it would be bad for them. When asked if the routes were rescuable, Mr O' Leary said that if Cork airport changes its mind about the increases in the next few weeks Ryanair would continue to operate the two services. Responding to the news, a spokesperson for Cork Airport strongly refuted the claims that Cork Airport has "raised fees by 20 per cent" Having availed of the 100 per cent discount provided by the Route Support Scheme on its East Midlands and Glasgow Prestwick services since December 2007, Ryanair has today reneged on its commitment to the Route Support Scheme," he said. |
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