This article is from page 13 of the 2006-10-24 edition of The Clare People. OCR mistakes are to be expected so download the original SWF or the rendered page 13 JPG
SHANNON-based charter airline Eirjet has confirmed it will continue to attempt to secure funding in an effort to save the cash-strapped company, after it voluntarily suspended all its flight operations last Wednesday.
It’s thought that the ailing company needs a cash injection of €5 million following the collapse of a €20 million leasing deal in Indonesia.
A rescue plan is due to be submitted to shareholders and directors this week.
Eirjet was issued with a 10-day “temporary licence” by the Commission for Aviation Regulation on Tuesday last amid fears that the airline would cease operations before the end of the month. Eirjet, however, cancelled all flights the following day.
A company spokesman said, “We have voluntarily suspended all flights so as to minimise inconvenience to the public. We are endeavouring to secure further financial support to try and save the company and remain in negotiations with the Commission for Aviation Regulation. We are in very difficult financial circumstances at the moment. We have ceased operations but we have not ceased trading.”
The Commission for Aviation Regulation issued a temporary air carrier licence to Eirjet that will expire on Friday October 27 next. But the commission was reluctant to give any details about the move and would only confirm that it had been notified by the airline that it was “not in a position to fulfil its current obligations to its tour operator clients.”
A spokesperson for one of the airlines customers, Falcon Holidays, confirmed, “Our summer season has come to an end and we only have one flight programme with Eirjet for the 06/07 winter holiday period and that is to our new destination Cape Verde. We are monitoring developments regarding Eirjet’s future plans. As far as our summer 2007 schedule, we are in negotiations with a number of airlines at the moment.”
Eirjet commenced operations in 2004 with an inaugural flight to Agadir using an Airbus A320 jet. Another two aircraft were added in summer 2005 to cater for flights from Cork and Shannon while the airline acquired a fourth jet in July of this year.