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EasyJet benefits from woes of rivals

2017年 11月 22日 Wednesday - 01:35

British budget airline easyJet says it is benefitting from the collapse of rivals and problems at Ryanair, helping pricing trends to improve before a new CEO takes over. Francis Maguire reports

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Easyjet's shares soared as it left its rivals way behind. The British firm posted record passenger numbers in the last year.... And said they'll raise fare prices in Europe this winter. They've benefited from the struggles of their rivals... Monarch, Air Berlin and Alitalia all went into administration this year... While Ryanair was bogged down by a spate of cancellations. (SOUNDBITE) (English) CMC MARKETS MARKET ANALYST, DAVID MADDEN, SAYING: "We've had the Ryanair pilot fiasco which has obviously cost the airline in one regard. But it's also damaged Ryanair's reputation. So if EasyJet continues to provide a respectable service and actually manage, to manage to actually stay in business it was obvious that their business was going to benefit from the downfall of others." The share jump is a final flourish for outgoing CEO Carolyn McCall. She's due to be replaced by travel industry veteran Johan Lundgren on December 1st. (SOUNDBITE) (English) CMC MARKETS MARKET ANALYST, DAVID MADDEN, SAYING: "It will be a reasonable sized blow seeing as Mrs. McCall was actually at the helm of EasyJet for seven years I believe. In that time period the stock did go on to achieve record after record highs. But the share price has been pushing higher since October 2016. So, there is still a lot of confidence in EasyJet out there." Lundgren will be under pressure to keep a tight rein on costs and get to grips with a buyout of parts of Air Berlin. The firm said operations at Berlin's Tegel airport will run a headline loss of around 80million U.S. dollars in 2018.

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EasyJet benefits from woes of rivals

2017年 11月 22日 Wednesday - 01:35