‘No re-negotiation’ of Cork Airport’s €113m debt

CORK Airport should not expect transatlantic flights any time soon and there will be no re-negotiation on its €113 million debt.

This news comes as passenger numbers at Cork and Shannon airports are expected to fall by one million this year as costs rise and staff numbers fall.

The operator of the two Munster-based airports, the Dublin Airport Authority (DAA) said yesterday it sees no need to renegotiate Cork airport’s massive €113 million debt despite the economic downturn.

“There’s no need to restructure this debt,” said DAA chief executive, Declan Collier.

The Cork Airport Authority voted just over a year ago to accept a controversial multi-million debt package to secure its independence from the DAA.

In a further blow to the airport, the DAA said there are no immediate plans to launch flights to the US from Cork airport.

It did say, however, that it is constant discussions with airlines with a view to one day launching such services.

The DAA expects to cut staff numbers in Dublin, Cork and Shannon this year as part of a major cost-cutting programme.

Passenger numbers at Cork airport increased by 2.5% to a record 3.3 million last year, but this number is likely to fall by 500,000 this year.

Shannon airport meanwhile saw passenger numbers plunge by 12% last year to 3.2 million. It can also expect a drop of around 500,000 passengers this year, according to the DAA.

The Department of Transport has postponed the break-up of the country’s three main airports until 2011.