Chief executive impressed by Shannon’s new belief

THE appointment of Shannon’s new chief executive Neil Pakey was announced last week and he met the local media for the first time on Friday, at the launch of the Philadelphia service.

 

Taking on Shannon just after a year in which its passenger numbers were the lowest seen in almost a quarter of a century won’t be easy but the Scot said he was enthused by the new structures put in place following the separation from the Dublin Airport Authority. “If I’m honest, the thing that stood out for me is probably the new board and the new belief here. For a long time, Shannon has been part of a wider grouping, there’s some good things about that but having that independence and seeing the quality of the board, it’s dynamic and talking to the board did excite me.”

Much of Mr Pakey’s reputation was built on an increase in traffic recorded, while he was the helm at Liverpool John Lennon.
Like Shannon, Liverpool was seen as a fairly peripheral airport and he feels his experience there will be helpful. “I think it is relevant. At Liverpool, in marketing terms, we were a challenging brand and we were challenging the big capital city ones. Here in Shannon, it’s a similar thing, the dependence on working with the stake holders across the community is massive, we’re all in it together, there’s no sense of the airport being superior to everyone or a monopoly, it’s actually a partnership for the whole region.”

Much of the growth at Liverpool was driven by a deal struck with Ryanair and he said that after his appointment last week he got “a nice text message” from Michael O’Leary.

Most of Shannon’s growth in the boom years was also down to the agreement struck with Ryanair, which was due to run from 2005-2010 but which the airline subsequently reneged on, blaming Government and DAA charges. When asked if

Shannon’s only hope of reaching its target of 2.5 million passengers in the coming years is through securing another deal with a low-cost carrier, he said, “Not necessarily. I think there are different markets, very distinct markets. I’d like to see an increase in low-cost traffic here. But look at today, it’s US Airways, they’re a global brand and a global airline. Shannon Airport has got a huge reputation, it’s got a very strong brand internationally and we shouldn’t underestimate that.”

While he hasn’t worked in Ireland before, he is already quite familiar with Shannon’s background. “I’ve known the Shannon team for many years, we meet and Shannon competed with Liverpool because we all want more air services. I’ve met the guys over many years and know of the airport. The region I don’t know very well and I’m getting to know it quickly and everybody has been very welcoming.”

Mr Pakey said he is pleased that the resumption of the Philadelphia route after four years is significant. “It’s a pleasure to be here and see all the optimism. It’s good that 90% of passengers are inbound. Obviously, everyone in the region has a stake in the airport and the services that we bring so it’s going to be a very exciting time,” he concluded.

 

Philadelphia route will bring thousands to Clare

THE new service between Shannon and Philadelphia commenced last Friday and it is set to bring thousands of visitors to Clare in the coming months, with estimates that 90% of those using it will be US-based.
Suzanne Boda is senior vice-president with US Airways and she said when the route was pulled four years ago, the economic outlook was extremely weak but that there has been a good level of bookings since it was relaunched. “Obviously, the global economy was in severe straits back in 2009, it definitely has stabilised and we’re seeing really good bookings for this flight for this summer and we’re really pleased with what we’re seeing.”

She also said that what is now a seasonal service could be expanded, if there is sufficient demand. “We look at Dublin as an example, we started with a seasonal service there and were able to upgrade it to a year-round service and now we actually have a second seasonal flight in Dublin.”

Ms Boda said the Gathering is a “big draw” for people of Irish descent in America this year.

Rose Hynes is chair of the board of Shannon and she said the launch of the new service is significant. “This is a very important day for Shannon and we’re going to work very hard to make this service work. This is just the start as far as I’m concerned.”

US Airways is on the verge of a merger with American Airlines, which would create the world’s largest airline and Ms Hynes said it would create further opportunities. “This is just an acorn in many ways, of which a lot of things are going to grow.”

She said she isn’t at all worried that legislation for the amalgamation of the airport and Shannon Development still hasn’t gone through. “The legislation is on the agenda it’s going to happen, you’ve heard what Mr Varadkar had to say.”