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Last Updated: Monday, 25 July, 2005, 10:45 GMT 11:45 UK
Shares in airline firm suspended
EUjet plane
EUjet began commercial flights from Manston in September 2004
The future of budget airline EUjet could be in doubt after shares in its parent company were suspended.

The PlaneStation Group's shares were suspended after bankers said they could not support any additional finance for EUjet, based at Kent's Manston Airport.

PlaneStation said passenger levels for 2005 would fall below planned levels, meaning it would need a cash input.

EUjet runs four Fokker 100 aircraft, flying from Manston to 18 destinations in the UK and Europe.

It began operating in September 2004 and has already axed two of its destinations - Madrid and Glasgow - because of low passenger numbers, and postponed plans to start flights to Cologne.

'Meetings taking place'

EUjet hoped to have 500,000 passengers in its first year of operation but in its first three months of flights carried only 71,000 people.

It lost 6.5m in the second half of 2004.

Last month PlaneStation had to sell off its 75% interest in the Kent International Business Park in Manston, blaming EUjet's poor passenger numbers.

PlaneStation said discussions with its bank over the past 48 hours had "not been positive" and the bank said it was no longer able to support the company.

EUjet's commercial director Stuart McGoldrick said: "We are due to operate 16 flights today. There are meetings taking place to see what happens next."

PlaneStation has also become involved in a row with Thanet Council over the funding of a consultative committee supposed to monitor the airport's impact on the local community.

PlaneStation has not paid bills for the committee since June, but said it was aware of its responsibilities and felt "the issue was better dealt with between the involved parties".


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