7th Feb 2019 11:38
LONDON (Alliance News) - easyJet PLC on Thursday said it has increased its EU ownership to 49% in order to be able to continue flying in Europe after the UK's exit from the European Union in March.
With just 50 days to go to Brexit, easyJet said it remains confident of its ability to continue flying whatever the outcome, as it has "undertaken significant preparations" since the vote of the referendum was delivered.
At the company's annual general meeting held on Thursday, Chair John Barton said: "To allow us to continue flying within Europe after Brexit, we are required to ensure ongoing compliance with EU ownership and control requirements."
He added: "To this end, our active investor relations programme continues to focus on Europe and we have now increased our EU ownership to 49%. This level of EU ownership is only marginally below the 50% plus 1 share that would be required if there is a 'no deal' Brexit and there is no adjustment period for compliance with EU ownership requirements."
Among other Brexit preparations, the airline has put in place new operating airlines in Austria and the UK, and ring-fenced those operations. Over 1,000 pilots were transferred and 3,300 cabin crew licences re-issued.
If the EU does not grant airlines any adjustment period to comply with ownership and control regulations, easyJet's board "stands ready to activate existing provisions to ensure that the company will comply following Brexit", the firm said.
One measure to achieve this would be the suspension of shareholders' voting rights, in respect of a small number of shares, the airline explained.
The company however, remains confident that even in a no-deal Brexit situation the right to fly between the EU and the UK will remain.
easyJet shares were trading down 1.1% at 1,305.00 pence.
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