The South East Regional Airport in Waterford faces the threat of closure following confirmation yesterday that the passenger airline Euroceltic Airways is to withdraw next month.
There will be no passenger services from the airport when Euroceltic, whose Irish operations are based in Waterford, withdraws on January 26th.
Mr Nicholas Fewer, chairman of the company which runs the regional airport, expressed regret yesterday at the decision of Euroceltic to withdraw its daily service to London-Luton as well as a weekly service to Liverpool due to losses of over €1 million incurred by Mr Noel Hanley since he took over the airline last January.
"Euroceltic had hoped to attract 40,000 passengers to its Luton service this year which would have allowed it to break even on its operations," said Mr Fewer. "In fact, a total of 31,000 passengers will be achieved but this is not enough to make it a viable proposition for Euroceltic to continue to operate out of Waterford."
Mr Fewer stressed the importance to any regional airport of securing Public Service Obligation routes, which Waterford - uniquely in this country - does not have.
Waterford Senator Brendan Kenneally (FF) said the situation at the airport was "very worrying" and would have a serious impact on efforts to attract inward investment to the south-east.
Waterford Chamber of Commerce chief executive Mr Frank O'Donoghue expressed his shock at the threatened closure.
"This is a body blow to Waterford and the south-east, particularly the region's business community. The chamber is in the process of putting a taskforce together to market business and tourism development out of the airport," said Mr O'Donoghue.