Ryanair, Europe’s largest airline, has made a significant decision regarding its operations at Warsaw Modlin Airport. The company announced on August 15th that it will reduce its flights at the airport by 50% for the upcoming winter season of 2024. This decision follows over a year of unsuccessful negotiations with the airport’s management team regarding cost structures. Ryanair has been striving to establish a competitive cost base that would allow for the expansion of its low-cost flight offerings from Modlin during the winter months.
The airline’s efforts to reach an agreement have been unsuccessful, leading to the difficult decision to cut operations. While Ryanair will continue to operate 22 routes from/to Modlin, the number of based aircraft will be reduced from 5 to 4 starting in late October. This change will also involve shifting some passenger traffic to new routes and increasing capacity at Warsaw Chopin Airport. To address the situation, Ryanair will resume negotiations with the newly appointed management team at Warsaw Modlin Airport, scheduled to take office in mid-September.
However, Ryanair has stated that if a competitive cost base comparable to other Polish airports is not reached, further expansion of its low-cost flight operations at Warsaw Modlin Airport will not be possible. Jason McGuinness, Chief Commercial Officer of Ryanair, expressed disappointment over the stalled negotiations, emphasizing the lengthy period of discussions with the management and supervisory board of Modlin Airport to secure a cost-effective agreement that would facilitate passenger growth. The airport’s current management is undergoing changes, and decisions regarding development are on hold until a new team is in place.
McGuinness highlighted the operational challenges faced by Ryanair due to these prolonged delays. The airline cannot sustain losses at Modlin during the 2024 winter season while offering low fares to stimulate demand at Warsaw’s second airport, especially when the management imposes fees comparable to major airports. Although the cuts are regrettable, they will create opportunities for development at other Polish airports, including Warsaw Chopin Airport. Ryanair welcomes the recent government decision to increase capacity at Chopin Airport to 30 million passengers per year.
Despite the reductions, Ryanair will continue to operate 22 connections to and from Modlin this winter. However, the reduced capacity will result in higher ticket prices for consumers due to the high costs at Modlin. Additionally, Ryanair will offer 6 routes to and from Chopin Airport, catering to the growing needs of Warsaw residents and visitors who desire low-cost flights. Ryanair remains hopeful about the appointment of the new management team at Modlin in September. They anticipate a swift agreement on a new long-term development/cost agreement, which would enable them to reverse the cuts and return to growth in traffic and employment for the summer season of 2025.
