Most difficult period ever for airlines, says expert

Airlines are dealing with the most challenging period in the history of the aviation industry, one expert claims.

While the Passenger Shipping Association (PSA) says that ferry travel is steaming ahead, airlines are buckling under the pressure of rising oil costs, notes development consultancy Mott MacDonald.

Laurence Price, director of Aviation Strategy at Mott MacDonald, explains the trouble has been signalled by Ryanair and Easyjet's decision to pull out of Dortmund and other destinations.

He adds that other airlines have grounded wholesale fleets to the US and there are now 60 million fewer seats this winter, compared to January 2007.

Mr Price concludes: "This is one of the most difficult periods the industry has ever faced."

In contrast, a study conduct by IRN Research on behalf of the PSA reveals that ferry travel in February 2008 was up by 120,000, compared with the same month in 2007 - a 3.5 per cent increase.