Next March El Al will launch a new budget airline called UP serving Berlin, Larnaca, Kiev, Prague and Budapest from Tel Aviv. Larnaca will be 6X weekly while the other cities will launch with 11x weekly service.
Fares will start at $69 each way to Prague & Budapest with $99 fares to the other cities, with the usual up-charges for seat assignment, food, etc. They’ll offer a 2-cabin product on 737-800s, with 144 coach seats and 36 premium economy-type seats (called Tourist Plus).
A handful of lowfare carriers already serve Tel Aviv, including easyJet, Germanwings, Air Baltic, Wizz Air, Pegasus and Transavia.