[Article] EUjet owner's shares are suspended

Victor

I was thinking only last week that theres an awful lot of regional airlines out there.

http://www.rte.ie/business/2005/0725/eujet.html

EUjet owner's shares are suspended

July 25, 2005 11:10
Shares in Planestation, which owns the regional airline EUjet, have been suspended in London after talks with its bank on further financial support broke down.

The company said it had requested the suspension, pending clarification of its financial position. EUjet operates eight routes from Shannon and two from Dublin and merged with Planestation last year. A spokesperson said flights were operating normally.

Last month the company said passenger numbers at EUjet would fall below expectations and it would need more cash. Planestation, which owns Kent International Airport, had planned to fund the shortfall through asset sales. It had been in talks with its bank on additional financial support while the disposal of a 75% stake in Kent International Business Park was completed, but said today that talks in the last 48 hours had not been positive.

Victor

http://www.rte.ie/news/2005/0727/eujet.html
http://www.rte.ie/business/2005/0727/eujet.html

EUjet passengers forced to make other plans

July 27, 2005 19:46
An estimated 500 EUjet passengers who had flown to holiday destinations from Shannon over the past week, have been forced to make alternative arrangements to get home following the decision of the company to cease operations.

EUjet operated nine flights a week from Shannon to Faro, Ibiza, Malaga, Manston, Murcia and Palma. It also operated a service to Geneva during the winter ski months.

The company ceased trading last night when its parent company Planestation was forced to go into administration after survival talks with the banks failed.


Stuart McGoldrick, a director of the company, expressed regret that the company was forced to close but said it 'wasn't an EUjet problem'. He said business out of Shannon was good and they had taken an estimated 45,000 bookings since they started last September.

He insisted that no passengers were left 'stranded', and that they had contacted all their customers to inform them about refunds.

For those in the middle of their journeys, he said they had talks with a number of airlines located at the airports they operate from to make arrangements to fly them home.

Companies such as Easyjet, Aerlingus, Ryanair, and Euromanx airlines have agreed to accomodate EUjet customers, but the reality for these customers is that they will have to pay to get home.

A Dub in Glasgo

He insisted that no passengers were left 'stranded', and that they had contacted all their customers to inform them about refunds.

Certainly looks as if they have been 'stranded' otherwise they would not need to pay for return flight irrespective of what EUjet think they will refund (refund the EUjet return portion of the fare or the cost of the one way ticket to get home?)

Victor

I think he means everyone got home on the day. I presume they are bonded and everyone will get paid the full cost of getting home.

The airlines tend not to rip people off in these circumstances, the bad press would not be good.