Ryanair: ‘One low-cost carrier will fail this year’
Ryanair has predicted that at least one European no-frills carrier would go bust this year because of an ongoing price war.
The Irish airline said it is expecting its fares to drop by between five and 20 per cent this year, which in turn is likely to reduce its post-tax profits by some 10 per cent.
According to The Independent newspaper, boss Michael O’Leary stated that even if fares drop by 20 per cent, Ryanair will still break even because its traffic is predicted to increase from 23 million to 28 million in the next 12 months.
O’Leary is quoted as saying: “This coming winter will be awful again and we cannot expect some of our competitors to survive. It is inevitable that there will be some casualties.”
He reportedly singled out bmibaby, MyTravel Lite, FlyBe, Germania, German Wings and Hapag Lloyd Express as those carriers “most exposed”, adding: “They won’t all go bust but there will be consolidations, acquisitions and mergers.”
Report by Tim Gillett, News From Abroad
Vegas’s Billion-Dollar Secrets – What They Don’t Want Tourists to Know
Visit Florida’s New CEO Bryan Griffin Shares His Vision for State Tourism with Graham
Chicago’s Tourism Renaissance: Graham Interviews Kristin Reynolds of Choose Chicago
Graham Talks with Cassandra McCauley of MMGY NextFactor About the Latest Industry Research
Destination International’s Andreas Weissenborn: Research, Advocacy, and Destination Impact
Graham and Don Welsh Discuss the Success of Destinations International’s Annual Conference
Graham and CEO Andre Kiwitz on Ventura Travel’s UK Move and Recruitment for the Role
Brett Laiken and Graham Discuss Florida’s Tourism Momentum and Global Appeal
Graham and Elliot Ferguson on Positioning DC as a Cultural and Inclusive Global Destination
Graham Talks to Fraser Last About His England-to-Ireland Trek for Mental Health Awareness
Kathy Nelson Tells Graham About the Honour of Hosting the World Cup and Kansas City’s Future
Graham McKenzie on Sir Richie Richardson’s Dual Passion for Golf and His Homeland, Antigua
ADS PRO 
Phocuswright reveals the world's largest travel markets in volume in 2025
Cyclone in Sri Lanka had limited effect on tourism in contrary to media reports
Higher departure tax and visa cost, e-arrival card: Japan unleashes the fiscal weapon against tourists
Singapore to forbid entry to undesirable travelers with new no-boarding directive
Euromonitor International unveils world’s top 100 city destinations for 2025