The airline company – Wizz Air expects that within the next year or so will be the airline with the lowest prices in Europe, beating on this indicator Ryanair, the company said on Monday.
Wizz Head, Jozsef Varadi, said that the prices of the competitor are growing as Ryanair flies to larger airports and invests in customer service.
"Our costs keep coming down, their costs creep up, so I think in the course of the next year or so, the lines will cross," - he said on the sidelines of Dublin Airline Economics conference on Monday.
Varadi is not concerned about Ryanair reported plans to open a base in Timisoara Airport in Romania in November.
"Ryanair for seven years has been in Central and Eastern Europe, - he said, adding that, in his opinion, the European market has enough space for both of them. – Competing with Ryanair only makes us a more significant rivaling force."
As part of its growth strategy, Wizz Air conducted a demonstration flight to London and made an order for 110 aircrafts – A321neo, which will be shipped starting from 2019. Also, the company's fleet to the middle of 2018 will be filled up with 40 A321ceo aircraft.
"With regard to the ceo aircraft we would finance on the basis of sale and leaseback, but with the neo we would take a more diverse view of financing," said Varadi.
He also state that lease rates significantly decreased for the ceo type and that leasing was a great way to ensure the financier, not the airline, carried the risk of the aircraft value decreasing while the Airbus manufacturer transitions from the ceo to the neo.
"But this is 2, 3 years down the line so we have got enough time to take a view on what we want to implement and do," he said, referring to financing for the neo models.