FTSE 100 Tilts Lower Ahead Of U.K. Budget

This is source I found from another site, main source you can find in last paragraph

British budget airline easyJet (>> EasyJet) launched a new booking platform on Wednesday to allow customers to more easily connect onto long-haul flights with other airlines, moving ahead of its rivals in a potentially lucrative market.

Both easyJet and Ryanair (>> Ryanair Holdings plc) have for some time been looking at so-called feeder flights to attract more customers, and have often said traditional carriers should use low cost rivals to bring passengers to their hubs.

The move is an attempt to muscle into the market for connections at international hub airports currently dominated by the big global airline alliances - Oneworld, SkyTeam and Star Alliance.

EasyJet passengers will be able to buy other airlines' flights on easyJet.com and will also initially be able to connect onto long-haul flights provided by Norwegian Air Shuttle (>> Norwegian Air Shuttle) and WestJet (>> WestJet Airlines Ltd.) at London Gatwick using the airport's Gatwick Connect scheme.

Peter Duffy, chief commercial officer at easyJet, said 70 million passengers currently begin journeys at easyJet airports, and make a stop before traveling across continents, and that easyJet wanted a slice of that market.

"This will open up lots of new competition for long-haul travel and will drive prices down," Duffy told reporters.

The Gatwick Connect scheme allows passengers to pick up their bags and drop them off at a transfer desk before going through security for their next flight. Passengers will have a minimum 2-1/2 hour connection time.

The move also increases pressure on British Airways (>> International Consolidated Airlines Group) at Gatwick, RBC analyst Damian Brewer said, where it lacks the short-haul feed for its intercontinental routes.

In January, Ryanair said it hoped to start offering connections to long-haul flights from Norwegian and Aer Lingus from May, but later said that would more likely be from September. It said technical issues were causing delays.

Norwegian's chief commercial officer Thomas Ramdahl told Reuters it was still talking to Ryanair.

"We have a solution that works for two parties within the low-cost model, so we can easily bring this solution onto Ryanair if they are willing to join us," Ramdahl said, adding easyJet had greater flight numbers to Gatwick, which is home to Norwegian's biggest long-haul network.

Ramdahl said Norwegian was looking at similar arrangements in the United States and Asia, and had talked to Qantas-owned Jetstar (>> Qantas Airways Limited) about a connecting partnership for Norwegian's flights to Singapore.

At 1430 GMT, shares in Norwegian were up 2.6 percent, while easyJet's rose 1.6 percent, the biggest increase on Britain's FTSE 100 <.FTSE>.

Aviation consultant John Strickland said easyJet's platform would make customers' lives easier, but as the airline already operated very full planes, it was more a case of topping up business where available.

"Importantly for easyJet it won't pick up the tab for any missed connections or baggage disruptions," he added.

EasyJet said it did not expect any additional costs as a result of the new service. It also said it was in talks with carriers in the Middle East and Asia about joining the scheme, which would expand into other airports in Europe.

(Additional reporting by Conor Humphries in Dublin and Joachim Dagenborg in Oslo; Editing by Mark Potter)

By Alistair Smout and Victoria Bryan

Stocks treated in this article : WestJet Airlines Ltd., Ryanair Holdings plc, Norwegian Air Shuttle, International Consolidated Airlines Group, EasyJet, Qantas Airways Limited

This is source I found from another site, main source you can find in last paragraph

Source : http://www.4-traders.com/FTSE-100-7392/news/EasyJet-muscles-in-on-long-haul-passengers-with-new-connecting-service-25106004/

concern

byplay

EasyJet muscles in on long-haul passengers with new connecting service
FTSE 100 posts 5th drop in a row after U.K. budget outlined
MARKET SNAPSHOT: U.S. Stocks Set To Lose Grip On All-time Highs As Global Rally Stutters
European stocks slip as traders wait for Fed rate update
FTSE 100 Drifts Lower Ahead Of The Queen's Speech
Europe lower after further record highs on Wall Street; UK budget in focus; Foxtons down 14%
FTSE 100 erases post-Brexit losses as buying bonanza fuels rebound
European Markets Finish Mostly Lower As Airlines & Autos Drop
Sterling Bears To Disregard U.K. Budget
FTSE 100 closes in red as financial stocks hit