Business Irish

Thursday 30 March 2017

Loss-making Shannon rejects Ryanair passenger offer

Barry Duggan

SHANNON Airport has rejected an offer by Ryanair to deliver one million extra passengers a year to the beleaguered airport.

A spokesman for the loss- making airport described Ryanair's demands for a passenger payment totaling €2m as part of a new deal for the Clare airport as "unreasonable" and potentially "ruinous".

Last Thursday, Ryanair boss Michael O'Leary spelled out the latest tender he put to the Dublin Airport Authority (DAA) -- which governs Shannon -- and confirmed the airline had sought the return of a €3.7m legal settlement that it paid the DAA less than six weeks ago for failing to honour previous commitments at Shannon.

Last night, a spokesman for Shannon said no commercial European airport could agree to the non-negotiable terms set out by Ryanair last week.

Speaking to the Irish Independent, Mr O'Leary claimed that the additional passengers would have brought more non-aviation revenue such as car-parking charges to the airport than it would have cost the authority to accede to its demands for a payment of €4.20 per extra passenger it brings to Shannon.

He said the office space and check-in desks it wanted to use for free at Shannon were not currently being used anyway.

Mr O'Leary compared Ryanair's offer to Shannon as similar to that enjoyed by other airlines in Dublin -- a claim which Shannon has completely rejected.

The temperature between the DAA and Ryanair is set to be further stoked today as Mr O'Leary holds a press briefing in Limerick.

Irish Independent

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