Ryanair’s profits rise but passenger numbers set to fall

CEO Michael O'Leary showed a profit before tax by 26%, but demand is low and the high cost of fuel is the stable growth of the airline

the growth of Ryanair's passengers will be relentless march back this winter for the first time since their low-cost airline admittedon Monday that force high fuel costs and weak demand, the grounding of a maximum of 80 aircraft.

Europe's largest short-haul airline said passenger numbers would be from September to March over the same period in 2010-11, ending a trend that figures has seen traffic from the airline, based in Dublin why millions of people every six months. During last winter, Ryanair carried 32 million passengers per year total 72.1 million people.

Michael O'Leary, Ryanair chief dismissed speculation that the earth nearly three out of 10 jets in its fleet, a saturated market for low-cost airline said.

"Why is the model is not broken? Because in March next year we will fly all the planes, he said. The head of Ryanair said it had no economic sense to a shop where development is predicted, the traditionally quiet winter months be accompanied by an average oil price of over $ 110 (£ 68) per barrel.

"When you go to oil at 110 $ per barrel this winter, there is no time when you want to open new routes and bases," he said.

O'Leary added that Ryanair Boeing to make an order by the last of its new Boeing 737-800 in 2013, it is not on new aircraft until at least the 2016th Asked if Ryanair is a company grows slower than the gains from taking fares instead of expansion, he said, "That's the risk."

Nevertheless, Ryanair is growing faster than most, and last year added 328 new lines of his strong network of 1000 O'Leary, warned last year that the airline " Good battery and sell at low prices should become "approach would also be due to the slower growth rates will be compensated with higher income to change, forcing Ryanair a more complex operation. The company already has trials of the seats on certain routes started.

Passengers feel the crunch immediately. O'Leary said Ryanair high fuel prices, average ticket price would increase from 12% to over € 43 (£ 37) this year, the company looked to increased fuel costs to recover from € 350,000,000. "A 12% increase in average air fares not only cover the bill € 350 extra fuel, he said.

He said that Ryanair's average lead is-in tariff, the term for the lowest price ticket on a flight this summer 12 € compared to a maximum of € 9 in the last year. Under these cards are also available, he added added.

Ryanair has a profit before tax of € 401 for the year to 31 March announced that it has been eradicated by 26% over the previous year after a special charge related to the eruption of the volcano in Iceland last year. Revenue rose 21% to € 3600000000th

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Monarch Airlines to scrap debit card booking fees

Low-cost carrier does not carry the overhead of booking by debit card, but led a € 10 flat rate to use credit cards

The carrier planned Arts Monarch Airlines Scrapping of all debit card charges for reservations as of today, while payments by credit card will trigger a lump sum of 10 € per booking.

Monarch CEO Conrad Clifford said the tax overhaul was designed to provide a "firm, transparent and easy to understand" politics. It is designed to distinguish cheap Monarch Airlines and others will probably follow to pressure on competitors.

The announcement was made by consumer association Which?, Who earlier this year filed a complaint with the super welcomed Office of Fair Trading to try to halt what he describes as the spiral "rip-off surcharges levied on transactions with debit and credit cards.

The low-cost airlines have to pay the door charge substantial fees for the privilege of opening by plastic, but the latest research by Which? found that "unjustified" fillers are increasingly common practice in many industries – from local councils and florists for dentists, dealers and agents.

Ryanair It currently charges a 'handling fee' of £ 12 for a roundtrip flight from paying with a debit or credit card while easyJet charges a £ 8 per booking (excluding Visa Electron), a little more for paying by credit card. Clifford said: "In these difficult economic times, there is absolutely no justification for a fare advertising and tingling consumers with excessive hidden fees."

All customers to book with Monarch scheduled flights credit does not extend to booking fee, while those who wish to pay by credit card will be charged a fee of £ 10, what the value of the transaction or number of passengers. This means that many families will benefit from a tariff, but solo travelers lose.

Rochelle Turner, Director of Research What? Travel , Said: "More than 42,000 people have told us they want to see an end to excessive charges, it's nice to see that Monarch is scrapping charges for payments by debit card, and make credit card charges and transparent from the beginning.

"If supplements Low cost airlines are among the worst offenders when it increasingly common to avoid undue disturbance Map this practice -. Movie hotels and even some local authorities"

She said that bear the costs for companies, payment by debit card is "a question of money, so there is simply no justification for excessive fees. See We want to know how others will follow in the footsteps of Monarch and stop the treatment costs to increase profits. "

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