Co-op has ‘fighting chance’ of resuming ferry service
The High Court recently appointed an examiner in the hope of securing a future for the car and passenger ferry.
A spokeswoman for West Cork Tourism Cooperative, which owns the company, said it has agreed to present an investment proposal to the examiner early next year in order to ensure the survival of the service between Ireland and Wales.
She said the business plan would be supported by €1.65 million which would be made available from the co-operative to Fastnet Line.
Up to yesterday, the cooperative had raised €661,500. “The money came from individual donors, shareholders and local businesses, leaving just under €1m to be raised,” the spokeswoman said.
Providing Fastnet Line successfully emerges from the examinership process, the new funds will be transferred into the company from the West Cork Tourism Cooperative, in the form of an interest-bearing 5% loan paid directly to the lender.
The interest payments would start in the first quarter of 2012, with capital repayments being made between 2014 and 2016.
Sources within the company believe they will be able to resume sailings by March 30 next.
The MV Julia currently lies tied up at Horgan’s Quay in Cork City.
The economic importance of the service hasn’t been lost on Cork County Council, Cork City Council and Kerry County Council which have invested significant money in the venture.
Since the cooperative launched the ferry in March 2010, the MV Julia has carried more than 153,000 passengers and it’s estimated they have benefited the Irish economy by €60m and the British by £52m (€61.9m).
It’s also estimated that the ferry service specifically generated €40m per annum to the Munster region and £25m per annum to south-west Wales.
The Fastnet Line has purchased €7.5m and £5.7m of goods and services from Irish and Britain suppliers respectively.
The MV Julia has shipped £65m worth of freight through the Swansea port since the service started. The business employs seven full-time shore employees based in Cork at present and, on sailing days, an average 53 full-time contracted staff on board the ferry.
