Air Berlin downgraded by RBS; Norwegian sees continued yield/unit revenue reduction in May-2010
RBS added that while it does not see Air Berlin at risk of failure in the short term, it does not see how the business can boost bottom-line profitability. Shares in Air Berlin were 1.3% lower on Friday.
easyJet handled 4.3 million pax in May-2010
Shares in easyJet were also down on Friday, by 2.4%, on the same day the carrier released its May-2010 traffic highlights. During the month, the LCC handled 4.3 million passengers, a 7.9% year-on-year increase (this compares with Ryanair’s 17% passenger increase to 6.4 million in the month), with an average load factor of 85.8% (a 2.3 ppt improvement and 5 ppts above Ryanair levels).
easyJet passenger statistics for the month were impacted by a number of cancellations as a result of the volcanic ash clouds. Approximately 1,600 flights were cancelled affecting approximately 215,000 passengers.
Norwegian Air Shuttle reports 14% reduction in yields and unit revenues in May-2010
Shares in Norwegian Air Shuttle gained 3.3% on Friday. The carrier reported a 14% year-on-year reduction in yields and unit revenues in May-2010, to NOK0.51 (EUR6.44 cents) and NOK0.39 (EUR4.92 cents), respectively. The LCC commented that the yield developments reflects an adjusted route portfolio with 5% longer sector length and the introduction of 12 new B737-800 aircraft with higher capacity and lower unit costs since May-2009.
Also during the month, the carrier handled 1.2 million passengers, a 25% year-on-year increase, as it increased capacity (ASKs) by 38%, with an average load factor of 77%.
Selected LCCs daily share price movements (% change): 04-Jun-2010