Futura Gael Ceases Trading

Victor

I wonder how companies bottom lines are holding up with the economic slowdown and high fuel prices. The closure of Futura Gael (subsidiary of Future International) follows two weeks after the collapse of Ronane Travel Ltd/Great Escapes.

http://www.aviationreg.ie/

Futura Gael Ceases Trading
(08 Sep 2008)

The Commission for Aviation Regulation has today suspended the air carrier operating licence of Futura Gael.

http://www.aviationreg.ie/Futura_Gael_Ceases_Trading/Default.277.html

Futura Gael Ceases Trading
(08 Sep 2008)

The Commission for Aviation Regulation has today suspended the air carrier operating licence of Futura Gael. The airline notified the Commission yesterday evening that it intended to cease trading today due to financial difficulties faced by it and its parent company, the Spanish licensed airline Futura International Airways S.A.

The Commission has given the airline formal notice that it intends to revoke its air carrier licence. Representatives of the airline will meet with the Commission tomorrow afternoon, September 9th 2008.

http://www.independent.ie/business/plans-to-get-futura-holidaymakers-home-1471833.html

Plans to get Futura holidaymakers home
Monday September 08 2008

The Irish airline suspended all flights from midnight

ARRANGEMENTS are being put in place to ensure that holidaymakers affected by problems with Irish charter airline Futura get home safely.

The airline, a Dublin-based subsidiary of Future International, grounded all its flights at midnight last night. The company says the holiday operators it deals with have been notified.

Financial Director at Futura Gael, Barry Matthews, has said Futura International is now seeking for a new investor to save the company.

All flights are currently suspended but the company could not confirm today how many passengers were affected or the status of the 90 employees.
It is believed that staff had been asked to take a pay cut in recent weeks, following reports that it was in financial difficulty. The airline runs charter flights to sun destinations across Europe, specialising in the Mediterranean and also parts of Eastern Europe.

The airline was in the news last month after a fight broke out on a flight from Dublin to Heraklion in Crete. After a number of unruly drunk passengers caused problems on board, the flight was diverted to Venice.

Victor

http://www.irishtimes.com/newspaper/ireland/2008/0909/1220629652939.html

Futura Gael made profits of €2.7 million last year

CIARÁN HANCOCK, Business Affairs CorrespondentFUTURA GAEL, the Swords, Co Dublin-based charter airline that ceased flying yesterday, was given a clean bill of health in April by the aviation regulator as part of an annual review of its air services.

The Commission for Aviation Regulation awarded Futura Gael a five-year air carrier operating licence in March 2007.

Documents filed with the Companies Office here indicate that Futura Gael made a profit of about €2.7 million last year.

Abridged accounts for the year to the end of October 2007 show that it had accumulated profits of just over €2.8 million at the end of its financial year. The airline had shareholder funds of more than €4 million, according to the accounts filed. It owed creditors just under €6 million but had current assets of about €10 million, including cash reserves of €8.6 million. The financial statements were approved and signed off by the board of Futura Gael on March 18th this year.

One source familiar with the company said it had annual turnover of about €5 million.

In a statement issued yesterday, Futura Gael's Spanish parent group said its difficulties related to the "speculative and exaggerated increase in the price of oil in recent months". Two months ago, Futura hired outside experts to help establish a viability plan that would include an outside investor. "So far it has not been possible to obtain an investor and to this end a decision had to be made," the company stated.

A number of service providers at Dublin airport are believed to be owed money by Futura Gael. The Dublin Airport Authority is thought to be owed up to €500,000.

Futura Gael was the Irish arm of the Majorca-based Futura Group, which operated 38 aircraft and had revenues of €335 million.

Based in Spain, Futura was set up by Aer Lingus in 1990. It was headed by Willie Walsh, the former Aer Lingus chief executive who now leads British Airways.

Aer Lingus sold an 80 per cent stake to Futura's then management for an estimated €28 million in 2002 and offloaded the balance of its holding in October last year for just over €11 million.

Terrontress

I reckon this will play into the hands of the larger airlines. I wouldn't trust a smaller operator with my money. BA, Air Fungus, Air France or Ryanair for me from now on.

Bluetonic

Terrontress wrote: »

I reckon this will play into the hands of the larger airlines. I wouldn't trust a smaller operator with my money. BA, Air Fungus, Air France or Ryanair for me from now on.

How many times in the last few years have you booked directly with a smaller airline? Very few I would imagine.

Fratton Fred

its going to be the Budget travels and the falcon holidays who have the problems with this, not the passengers.

Terrontress

Bluetonic wrote: »

How many times in the last few years have you booked directly with a smaller airline? Very few I would imagine.

Quite a bit with Flybe and I had priced a flight to Toronto with Zoom but didn't end up taking it.

Terrontress

Bluetonic wrote: »

How many times in the last few years have you booked directly with a smaller airline? Very few I would imagine.

Quite a bit with Flybe into Exeter and Gatwick. I also had priced a flight to Toronto with Zoom but didn't end up taking it.

L1011

Futura Gael never traded directly with the public...

I've used FlyBe and Aer Arran and will continue to do so. Often there is no alternative.

kinetic

I flew back from sicily last month with futura gael and we were delayed for 2 hours before take off, then told we had to divert to Barcelona to refuel as there was no fuel available at the Sicilian airport.

I thought that was strange an airport with no fuel.

Terrontress

Another one bites the dust. XL has gone into administration this morning.

SickCert

Fratton Fred wrote: »

its going to be the Budget travels and the falcon holidays who have the problems with this, not the passengers.

Flying to Majorca in October, been told Jetx is picking up most the work.

Run_to_da_hills

Terrontress wrote: »

Another one bites the dust. XL has gone into administration this morning.

Ryanair have already offered to bail stranded passengers out over the next two weeks with a spare jet. Good PR stunt .

http://www.ryanair.com/site/EN/news.php?yr=08&month=sep&story=gen-en-120908