Ryanair halts low-fare Tel Aviv services over slot and terminal dispute
Rhea-AI Filing Summary
Ryanair will not restart low-fare Tel Aviv flights this winter after Ben Gurion Airport refused to confirm Ryanair's historic S26 summer slots or guarantee continued availability of the low-cost Terminal 1. The airline says this decision removes 1 million seats and 22 routes from its winter schedule. Ryanair reports repeated disruptions this summer when Terminal 1 was closed and it was forced into the higher-cost Terminal 3, making low-fare services loss-making.
Ryanair says it protected its historic slots during prior disruptions and will only resume the 22 routes if Ben Gurion confirms S26 slots and that Terminal 1 will remain available or that T3 usage will be charged at T1 rates. The company regrets the impact on passengers but will not accept higher costs that render low-fare services unviable.
Positive
- None.
Negative
- Immediate suspension of winter low-fare Tel Aviv services resulting in a loss of 1 million seats and 22 routes from Ryanair's schedule.
- Ben Gurion Airport refused to confirm Ryanair's historic S26 slots, creating schedule uncertainty and preventing restart of services.
- Repeated closures of low-cost Terminal 1 forced Ryanair into higher-cost Terminal 3, making previously sold low-fare seats loss-making.
- Ryanair will not accept higher T3 costs and has conditioned service resumption on written confirmation of slot and Terminal 1 availability, risking continued capacity loss if unresolved.
Insights
Ryanair is cutting capacity to Tel Aviv (1m seats, 22 routes) until airport confirms slots and low-cost terminal access; revenue and network exposure reduced.
Ryanair has publicly announced a material operational pullback from Tel Aviv this winter, quantified as 1 million seats and 22 routes. That reduces near-term capacity and likely lowers winter ticket revenue tied to those routes. The stated driver is airport refusal to confirm S26 historic slots and uncertainty over low-cost Terminal 1 availability; higher terminal costs in T3 are cited as making those services loss-making. This is a clear unilateral capacity reduction tied to commercial terms rather than fleet or demand issues, implying a step-change in Ryanair's cost base at Ben Gurion if forced to operate from T3 at T3 rates. For investors, the impact is a tangible reduction in network reach and potential shortfall in ticket sales for the winter period unless airport terms change.
The filing documents a contractual/operational dispute with Ben Gurion Airport that led Ryanair to suspend services until written confirmations are provided.
Ryanair frames the decision as a response to the airport's refusal to confirm historic S26 slots and the continued, repeated closure of Terminal 1. The company emphasizes prior preservation of slots during Covid and security disruptions, and it conditions resumption on written commitments from the airport. This disclosure is direct and specific about the operational criteria required for service resumption, signaling a firm negotiation stance. Governance-wise, the company is documenting its rationale and the passenger impact; the filing provides a clear accountability record for stakeholders regarding route suspension decisions.