IAG CEO Willie Walsh at CAPA’s Airlines in Transition conference in Dublin remarked (11-Apr-2013) that there is no such thing as a cheap airline, saying an airline with a low sale price will cost a lot in restructuring and absorbing debt. Pointing to the collapse of Spanair and Malev, Mr Walsh said market dynamics can have a better outcome than an investor saving an airline (Qatar considered a stake in Spanair). Mr Walsh pointed to much of Spanair’s capacity “replaced immediately by carriers who could provide those services, in many ways better than Spanair” and profitably. Mr Walsh concluded, ‘There’s plenty of evidence if true demand exists you have an industry that will provide” capacity.
12-Apr-2013 12:50 AM