Leisure airline Jet2 expects next summer’s programme will be close to summer 2019 seat capacity levels.
The prediction came in a statement from the carrier’s listed owner Dart, which will have its annual general meeting later on Thursday (September 3).
The statement also said Dart will change its name to Jet2 plc, following the sale of its distribution and logistics business earlier this year.
The name change will reflect the “continued focus on its longer-term strategy of growing its leisure travel business” but has not been completed because of Covid-19 restrictions affecting Companies House.
Steve Heapy will be confirmed as chief executive of Jet2 plc with Philip Meeson remaining executive chairman.
Meeson will say at the AGM: “For summer 2021, we plan to fly to all our popular leisure destinations with an appropriate, tailored level of service, which we anticipate will be close to summer 2019 seat capacity levels.
“Bookings to date are encouraging, with average load factors ahead of the same point last year and package holiday customer numbers as a proportion of total departing customers showing a material increase.”
He will outline how the fleet was grounded in mid-March as the Covid-19 pandemic hit, but operations resumed on July 15. Jet2 flew to 40% of the destinations it originally had planned for August.
His statement will continue: “Whilst there have been setbacks, such as the imposition of quarantines and evolving guidance from the UK government, we have been satisfied with the average load factors and financial contribution achieved to date and will continue to add further capacity, as appropriate, for the remainder of summer 2020, supported by our quick to market, flexible operating model
“Winter 20/21 forward bookings have yet to match our revised on-sale seat capacity, with customer bookings displaying a shorter lead time than in previous years.
“Therefore, pricing for both our leisure travel products – end-to-end package holidays with Jet2holidays and flight-only seats with Jet2.com – will need to remain consistently enticing.”
The statement continued: “As at 28 August, our total cash balance was £1,064m, with an ‘Own Cash’ balance (excluding customer deposits) of £629m (at 31 March 2020: £1,387m and £520m respectively). Additionally, the Bank of England Covid Corporate Financing Facility of up to £300m of funding is currently unutilised.
“We will continue to take every step necessary to preserve cash and enhance liquidity to ensure both Jet2.com and Jet2holidays are equipped to deal with this most challenging of trading environments and also best positioned for a return to full operations in a stable financial position, to the benefit of all stakeholders.”
The statement added: “We believe now is the right time to align our group name with the brand under which our business is delivered.
“Whilst what we are called is changing, the way in which we do business will not alter as our ‘Customer First’ strategy will remain consistent.
“Our long-term ambition therefore remains – To be the leading UK leisure travel business.”
- Jet2holidays said on Wednesday (September 2) that it will extend the suspension of flights and holidays to Budapest because of the pandemic.
All holidays departing up to and including September 28 will automatically be cancelled with a full refund. Flights are now due to recommence from October 2.
In an update to agents, it said: “We still have plenty of holidays available to alternative destinations including the Algarve, Greece and Turkey next week for your customers to rebook.”