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Germania’s failure threatens the German market

The German Airline operated over 800,000 air seats to Spain in 2018, of which 40% were off season.

Germania Airlines declared itself insolvent in front of the Berlin courts on Monday 4th February. The sudden news has had a big impact on top holiday destinations in Spain, due to the fact that Germany is one of the key markets. The Company had scheduled over 745,000 air seats for 2019, which have now disappeared suddenly, leaving the uncertainty of whether another operator can cover them.

In 2018, Germania’s total air capacity to Spain’s airports was 817,134 seats. The flights mostly departed from Nuremberg, Bremen and Münster airports, although Germania was also present in other important airports such as Berlin Tegel.

The most affected Spanish destinations are the Balearic and Canary archipelagos, and specifically the following airports: Palma de Mallorca (Germania’s air capacity in 2018 was 349,304 air seats), Las Palmas de Gran Canaria (129,407), Fuerteventura (118,122) and Tenerife Sur (95,387).

The months with a larger capacity in 2018 were July and August, with 88,505 and 89,763 air seats respectively. However, it should be noted that 40% of Germania’s air seats (382,234) operated in the off season period. This was a very important factor in the yearning for deseasonalisation in a lot of holiday destinations in Spain.

In 2018, 42% of air seats to Palma de Mallorca (more than 147,000) were scheduled during off season (between 1st January and 30th April, and between 1st September and 31st December).

Regarding the Canary Islands, considering that the season peak is in the winter-spring months, (between 31st October and 1st April), Germania’s off season capacity represented 49.42% (195,579 air seats).

Besides both archipelagos, many other Spanish airports will also be affected since Germania was responsible for over 72,000 air seats in 2018, 42% of which belonged outside the summer period.

The estimated air capacity in 2019 for Spanish airports was 745,335 air seats. The monthly and destination distribution was similar to the one shown in 2018. There is therefore major concern as to what is going to happen with the seats which have already been sold. At the same time it raises a new challenge for destinations that want to recover connectivity during off season.