Wednesday, November 05, 2008
Ryanair Threatens Transatlantic Service Again
The economic downturn is hitting everyone hard, and airlines already challenged by a year plus of high fuel costs are no exception. So expansion isn't something we are normally hearing about in the airline industry.
But Ryanair is again talking major expansion... across the Atlantic, despite tough financial times. If it happens? Who knows. The plans are vague, but they're there. Two to three years from now, Ryanair flies to L.A., New York, Boston, Florida and San Francisco. Starting seat rates? About $15 each way. Sounds great! Except for the actual flying experience, and that it's not terribly likely to happen.
Ryanair's profit fell 47% in its most recent report, and it expects a loss over the next six months. In fact, CEO Michael O'Leary forecasts that in Europe, the only airlines left standing when the economy finally recovers will be Lufthansa, Air France, British Airways and Ryanair. In fact, in order to make ends meet, Ryanair is forcing a week's vacation, unpaid, on the whole staff.
I'd consider this the airline equivalent of vaporware in the computer world. It's promised, but never seen.
But Ryanair is again talking major expansion... across the Atlantic, despite tough financial times. If it happens? Who knows. The plans are vague, but they're there. Two to three years from now, Ryanair flies to L.A., New York, Boston, Florida and San Francisco. Starting seat rates? About $15 each way. Sounds great! Except for the actual flying experience, and that it's not terribly likely to happen.
Ryanair's profit fell 47% in its most recent report, and it expects a loss over the next six months. In fact, CEO Michael O'Leary forecasts that in Europe, the only airlines left standing when the economy finally recovers will be Lufthansa, Air France, British Airways and Ryanair. In fact, in order to make ends meet, Ryanair is forcing a week's vacation, unpaid, on the whole staff.
I'd consider this the airline equivalent of vaporware in the computer world. It's promised, but never seen.
Roger, 6:09 PM
