easyJet searching where to base a possible EU subsidiary

easyJet has thus far considered three European states (Ireland, the Netherlands and Cyprus) as possible host countries for its proposed continental subsidiary, the Irish Times has reported.

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©Avineesh Suppiah

According to the newspaper, the U.K.-based LCC has had some contacts with the Irish Aviation Authority (IAA) conceding an Irish AOC (Air Operator’s Certificate).

Similar contacts  have been made to the Netherlands’ and Cypus’ authorities, the report added.

easyJet is seeking a European Union-based AOC to ensure the continuation of its EU common market flights, in the even the UK experiences a “hard Brexit” i.e. it’s exclusion from the Open Skies area. The carrier says that around 30% of its network remains wholly within and between EU states, excluding the U.K.

As such, easyJet says its pursuit of a third AOC will result in a one‐off cost of around GBP10 million over two years with up to GBP5 million incurred in the 2017 financial year. The primary driver of the cost is the re‐registering of aircraft in an EU AOC jurisdiction.

A formal application for a EU-based AOC is expected to be made in early 2017.

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