Cyprus Parliament approved a EUR35 million funding package for Eurocypria on 18-Feb-2010, providing fresh capital for the struggling charter airline (Cyprus Mail, 19-Feb-2010). The carrier requires the funding to repay loans amounting to approximately EUR28 million. The funding will be provided through the acquisition of new shares. There is also the possibility that overseas investors may purchase some of the share issue. Finance Minister, Charilaos Stavrakis, stated that through “informal contact” with the European Commission (EC), the Ministry had been assured there would only be a possible issue over state support if another airline complained officially. However, Limassol-based law firm, Anastasios Antonious, filed an official complaint on 17-Feb-2010 with the EC regarding the financing on behalf of an anonymous client.
Eurocypria receives EUR35 million funding from Cyprus Parliament through share purchase plan
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This report looks in some detail at Jet2.com's network and how it has changed in the three years since summer 2013.
Over the past three years Jet2.com has increased its peak summer weekly seat capacity by one third. By airport, the biggest share of this incremental capacity has been at Manchester. By destination, the lion's share of its growth has been to Spain, where there is now a capacity glut. Its markets have become increasingly competitive – not only due to other LCCs, but also because of the growth of airlines owned by integrated leisure groups such as TUI and Thomas Cook.
"Too little competition in the American (airline) market". EU head: US consolidation goes too far
At the ACI 26th General Assembly in Athens on 21-Jun-2016 the European Commission's DG Competition Henrik Mørch said that the EC has generally approved JVs but is closely watching consolidation trends. As reported in a CAPA news brief, Mr Mørch said that the EC is interested in how much consolidation can be justified with efficiency gains for the consumer.
He added that, while the European aviation market is more fragmented than the American market, taking the level of consolidation that exists in the US and applying it to Europe is "not necessarily something we would advocate for...there's too little competition in the American market in our view".
However, the level of concentration on the North Atlantic, the principal market where JVs have been approved by the Commission, is greater than in North America – the market that Mr Mørch considers too concentrated. Meanwhile, European fragmentation weighs heavily on its airlines' yields and holds back their profitability.