Miguel Praga

💸 Michael O'Leary, CEO of Ryanair, fears a 179 million euro fine levied by the Spanish government against five low-cost airlines could undermine their business model. The fine, which for Ryanair amounts to 107 million euros, is deemed "illegal and unfounded" by O'Leary, who asserts it violates EU law. Legal appeals have been ordered, anticipating EU courts will revoke the fines, which are based on a pre-EU Spanish law from the 60s.

✈ Spain's government fined five low-cost airlines a total of €179 million for charging for carry-on luggage and other fees. The fines, higher than the initially announced €150 million, include Ryanair (€107.775 million), Vueling (€39.264 million), Easyjet (€29.094 million), Volotea (€1.189 million), and Norwegian (€1.610 million). The Spanish Airline Association (ALA) claims the sanction won't apply until a judicial resolution and is allegedly illegal under EU regulations. The ALA will seek precautionary measures through the courts.

✈ Ryanair, through Malta Air, closed its base at Bordeaux Airport months ago, citing high airport costs. The company left without following proper procedures, affecting its staff—transferring some to other bases and laying off others, including 14 who refused relocation. A court found Ryanair (Malta Air) guilty of not adhering to collective dismissal procedures for its layoffs. Consequently, Ryanair must now initiate a collective dismissal as per the legal requirements. Post-exit, Transavia, Air France's low-cost subsidiary, opened a base and launched seven routes from Bordeaux Airport.

🌍 Major Spanish travel groups, including Viajes El Corte Inglés, Ávoris, and World2Meet (W2M), are bolstering their wholesale divisions to reduce reliance on third-party tour operators and enhance their offerings both for their own and independent agencies. Tourmundial (2018) and Club de Vacaciones (2015) have seen significant growth in sales and offerings. W2M's recent Cibeles brand targets seniors, aiming to be a key supplier for independent travel agencies without mass store openings, while Ávoris launched Ávoris Store to prevent sales leakage to competitors, comprising multiple brands like Travelplan, Jolidey, and Welcomebeds. This trend challenges independent tour operators, already facing margin pressures and a crowded senior tourism market.