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21/10/2009
Aer Lingus Should Merge – But Not With Ryanair
A former Aer Lingus chief executive has said the future of the airline can only be secured if it merges with another airline – as long as that airline isn't Ryanair.
Willie Walsh, who left the airline in 2005 and is now chief executive of British Airways, said Aer Lingus' future was now uncertain due to a variety of factors, and that the airline should consider a merger.
Speaking at the Jim Kemmy Business School at the University of Limerick yesterday, Mr Walsh said: "Given what has happened to the economy and given the way Aer Lingus has struggled in recent times, I think you could make an argument that its future as an independent carrier is not that secure and maybe Aer Lingus does need to look at a relationship with some other carrier or a number of other carriers."
Since mid last year, Ryanair has made a number of bids for a take over of the State-run airline, all of which were rejected after interventions from the Competition Commission and assertions from the Aer Lingus Board that the Michael O'Leary owned budget airline had undervalued the company.
Mr Walsh said that he believed a merger with Ryanair would be "very difficult" although not impossible.
He added: "There are serious competition issues and there is a very significant overlap between Aer Lingus and Ryanair and the competition regulators will always struggle with that."
Coincidentally, today Ryanair has launched an attack on what it claims is "BAA airport monopoly" in the airport sector in London.
Ryanair said today that it would be drawing the Competition Appeal Tribunal’s attention to the way in which "the BAA monopoly has abused its power" by building facilities its airline customers "neither wanted nor needed."
Ryanair’s Michael O’Leary said today: "Competition is the only way to ensure that competition and the consumer interest is protected from the damage inflicted by years of the high cost BAA monopoly”.
(DW/KMcA)
Willie Walsh, who left the airline in 2005 and is now chief executive of British Airways, said Aer Lingus' future was now uncertain due to a variety of factors, and that the airline should consider a merger.
Speaking at the Jim Kemmy Business School at the University of Limerick yesterday, Mr Walsh said: "Given what has happened to the economy and given the way Aer Lingus has struggled in recent times, I think you could make an argument that its future as an independent carrier is not that secure and maybe Aer Lingus does need to look at a relationship with some other carrier or a number of other carriers."
Since mid last year, Ryanair has made a number of bids for a take over of the State-run airline, all of which were rejected after interventions from the Competition Commission and assertions from the Aer Lingus Board that the Michael O'Leary owned budget airline had undervalued the company.
Mr Walsh said that he believed a merger with Ryanair would be "very difficult" although not impossible.
He added: "There are serious competition issues and there is a very significant overlap between Aer Lingus and Ryanair and the competition regulators will always struggle with that."
Coincidentally, today Ryanair has launched an attack on what it claims is "BAA airport monopoly" in the airport sector in London.
Ryanair said today that it would be drawing the Competition Appeal Tribunal’s attention to the way in which "the BAA monopoly has abused its power" by building facilities its airline customers "neither wanted nor needed."
Ryanair’s Michael O’Leary said today: "Competition is the only way to ensure that competition and the consumer interest is protected from the damage inflicted by years of the high cost BAA monopoly”.
(DW/KMcA)
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02 June 2009
Ryanair Flies Low
The budget airline Ryanair has revealed financial returns showing a major nosedive in operating profits. Ryanair plunged into the red by €169.2 million (£145.9m) in the year to March after being hit with a 59% hike in its fuel bill.
Ryanair Flies Low
The budget airline Ryanair has revealed financial returns showing a major nosedive in operating profits. Ryanair plunged into the red by €169.2 million (£145.9m) in the year to March after being hit with a 59% hike in its fuel bill.
09 December 2008
Aer Lingus Knuckles Down Over Ryanair Offer
Aer Lingus is fortifying its defences against the bold approach from Ryanair last week. The airline's Chief Executive Dermot Mannion has announced the recent union agreement will mean the loss predicted for the end of year could be turned around due to its expected €50 million in cuts.
Aer Lingus Knuckles Down Over Ryanair Offer
Aer Lingus is fortifying its defences against the bold approach from Ryanair last week. The airline's Chief Executive Dermot Mannion has announced the recent union agreement will mean the loss predicted for the end of year could be turned around due to its expected €50 million in cuts.
19 October 2007
Ryanair Hits Out As Aer Lingus Takes Flight
With Aer Lingus proceeding with its plan to close the Shannon-Heathrow route and open a new Belfast hub instead, its biggest rival (and ironically, its biggest shareholder), Ryanair is now set to provide three additional daily flights to London to ensure Shannon Airport's capacity and traffic does not fall as a result of this Aer Lingus closure.
Ryanair Hits Out As Aer Lingus Takes Flight
With Aer Lingus proceeding with its plan to close the Shannon-Heathrow route and open a new Belfast hub instead, its biggest rival (and ironically, its biggest shareholder), Ryanair is now set to provide three additional daily flights to London to ensure Shannon Airport's capacity and traffic does not fall as a result of this Aer Lingus closure.
02 December 2008
Government Looks Seriously At Aer Lingus Offer
The Irish Finance Minister Brian Lenihan (pictured) is said to be having a "serious look" at a fresh multi-million euro offer for Aer Lingus from its rival Ryanair - even though the airline itself has publicly ruled the bid out. Ryanair boss, Michael O'Leary has been actively trying to take over Aer Lingus for sometime, offering €1.
Government Looks Seriously At Aer Lingus Offer
The Irish Finance Minister Brian Lenihan (pictured) is said to be having a "serious look" at a fresh multi-million euro offer for Aer Lingus from its rival Ryanair - even though the airline itself has publicly ruled the bid out. Ryanair boss, Michael O'Leary has been actively trying to take over Aer Lingus for sometime, offering €1.
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Ireland WeatherToday:A rather cloudy start with patchy mainly light rain, but becoming brighter through the day as the rain turns more showery, the best of any sunnier spells in the south. Maximum temperature 16 °C.Tonight:A few bright spells at first and any showers gradually dying out. Low cloud and mist or drizzle over northern coastal parts will spread south to most areas overnight. Minimum temperature 7 °C.
