MAG ties up long-term Ryanair deal at Stansted
MANCHESTER Airports Group (MAG) has agreed a 10-year deal with budget airline Ryanair to grow at Stansted Airport.
The Irish carrier, recently hit by a slump in demand, said the new deal would allow it to grow its traffic at the Essex airport by 50%, from 13.2 million passengers last year to more than 20 million passengers per year.
Ryanair said MAG – which acquired Stansted this year – had agreed to implement a “package of lower costs and more efficient facilities”.
MAG’s chief commercial officer, Ken O’Toole – who used to work for Ryanair said: “”The new long term agreement between Ryanair and MAG at Stansted shows that competition really does work, and it represents great news for both passengers and UK businesses.
“The deal secures a new and exciting era for both Ryanair and Stansted, and we’re delighted to be supporting the airline’s growth over the next 10 years.
“Today’s announcement, coupled with our £80m investment in the terminal, confirms that Ryanair shares our confidence, and shows how we are succeeding in transforming Stansted under new ownership. Stansted has a really bright future in providing international connectivity for the UK.”
Michael O’Leary, Ryanair’s chief executive said: “This agreement, which will create over 7,000 new jobs in Stansted, proves how UK airports can flourish when released from the dead hand of the BAA monopoly and is the first dramatic initiative by MAG to reverse seven years of decline, during which Stansted’s traffic fell from 23.8m to 17.5m.”
