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Effect Of UL Crisis On EK's Expansion Plans?

Sat Aug 18, 2001 7:54 pm

I was just wondering about the effect on EK's expansion plans of the current problems with Srilankan airlines. There have been reports on various websites, indeed even in the Irish media, that the UL crisis has caused EK's expansion plans to be put on ice. In particular of course, the proposed DUB route. The info in Ireland seems to be that negotiations were at an advanced stage with Aer Rianta, Ireland's main airport operator and Emirates and Aer Lingus had wanted to operate a code share (??)

Although UL's problems are undoubtedly a headache for Emirates, it seems illogical that it would abandon plans simply to provide aircraft to Srilankan; for a start, insurance cover will now be extremely expensive. Also, given that traffic will be declining (for UL) they should have enough for the moment in their 4 remaining A330s and 2 operational A340s?

Any comments?
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RE: Effect Of UL Crisis On EK's Expansion Plans?

Mon Aug 20, 2001 9:10 am

I don't think Emirates expansion plans are on ice. Just recently Emirates placed an order for 2 330s from Airbus, and apparently another big order is on the cards.

Just out of interest, soon SriLankan will be able to continue operating one of their A320s, as it is nearing completion of repairs. So with that aircraft and a massive cut of flights, Sri Lankan has all the aircraft they need at the moment at their disposal.
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RE: Effect Of UL Crisis On EK's Expansion Plans?

Tue Aug 21, 2001 12:30 am

Srilankan problems probably wont affect Emirates too much- they'll continue operating unprofitable routes (Manchester, Nice, Sydney) and cover the costs from a DNATA cross-subsidy.
In a perfect world, all of Srilankan would have been destroyed last month- then Emirates could walk away from the deal!