Ireland's Dublin Airport Authority reported (06-Jul-2012) passenger numbers at Dublin Airport increased 3% year-on-year to 1.9 million in Jun-2012 with passenger numbers on European routes increasing by 4% to more than one million, supported by the Euro 2012. Passenger traffic on UK routes fell 1% to under 600,000. Trans-Atlantic traffic increased 5% to 180,000 while other international traffic increased 100% to 43,000. Domestic passenger numbers continued to decline, down by 66% to 5000. For the first six months of 2012, passenger traffic at Dublin Airport fell by less than 1% to close to nine million. [more - original PR]
Dublin Airport Jun-2012 pax 3%; 1H2012 pax down 1% to nine million
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Any slump in unit revenues, whether resulting from weak demand or over-supply in the market place could threaten its now well-established profitability. Assuming Aer Lingus does not end up in the hands of Ryanair, it may need to reconsider its strategy of avoiding the global alliances in the longer term, although its strong balance sheet should remain a good insurance policy in the near to medium term.
LOT majority stake attracts airline interest, but restructuring and potential synergies will be key
Recent legislation allows the government of Poland to sell a majority stake in state-controlled national carrier, LOT Polish Airlines (LOT). According to media reports, LOT has appointed Rothschild as its privatisation adviser and a number of carriers have indicated their interest in investing. A lifeline loan from the government in Dec-2012 has been approved by the European Commission, partly conditional on a new restructuring plan expected in Jun-2013.
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