"Scottish airport traffic still rising"

Friday, May 14, 2004

Scottish airport traffic still rising
United Kingdom - The Scotsman


PASSENGER figures released yesterday showed that Scottish travellers
continue to use the country's airports in increasing numbers, despite
growing pressures on low-cost airlines.

Prestwick Airport officials said it had closed the gap on the smallest
of BAA's three Scottish airports, after claiming two million passengers
used the Ayrshire airport. Prestwick's business is dominated by Ryanair,
the Irish low-cost carrier which currently has 13 routes from there.

Separately, BAA figures showed that Glasgow, Edinburgh and Aberdeen
airports saw a 7.9 per cent rise in traffic to 1.5m users.

Prestwick's managing director Tom Wilson said he had two targets: "To
overtake Aberdeen and reach four million passengers by the end of the
decade."

BAA's figures showed that in April there was a 6.2 per cent increase at
Aberdeen, 9.4 per cent rise in Edinburgh and 7 per cent jump at Glasgow,
which recorded the best international growth, up 17.4 per cent.

Donal Dowds, managing director at BAA Scotland, said: "These figures are
a clear demonstration of the good health enjoyed by Scotland's key
airports, with growth seen in both international and domestic traffic."

BAA figures show that in the year so far, 18.4 million people have used
its Scottish airports, a 4.1 per cent increase on 2003. The Scottish
figures compared to the 11.4 million passenger total for April at its
seven UK sites, an increase of 15 per cent compared to April 2003. The
highest growth was on longhaul routes, previously hammered by the Sars
virus and the Iraq war. American traffic soared 18.6 per cent while
other long haul grew 27.5 per cent.

Yesterday's upbeat Scottish passenger figures came as low-cost operation
Edinburgh-based Flyglobespan.com also predicted it would increase
passengers fivefold this year to one million, as it released annual
profits of GBP 2.06m - down from GBP 3.5m in 2003. Turnover also fell,
from GBP 73.3m to GBP 70.2m.

It has been a troubled month for low-cost airlines. EasyJet shares have
suffered after it warned it was cutting its profits outlook for the year
after announcing half-year losses of GBP 27.3m. Low-fares minnow Duo
closed with the loss of services from Edinburgh and 300 jobs.

Michael O'Leary, the Ryanair chief executive, has said its cash reserves
will be vital as competition increases. He predicted a "bloodbath" for
the industry over the next two years.


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