Ryanair Launches New Bid For Aer Lingus | Aero-News Network
Aero-News Network
RSS icon RSS feed
podcast icon MP3 podcast
Subscribe Aero-News e-mail Newsletter Subscribe

Airborne Unlimited -- Recent Daily Episodes

Episode Date

Monday

Tuesday

Wednesday

Thursday

Friday

Airborne On ANN

Airborne 05.02.16

Airborne 05.03.16

Airborne 05.04.16

Airborne 05.05.16

Airborne 05.06.16

Airborne Hi-Def On YouTube

Airborne 05.02.16

Airborne 05.03.16

Airborne 05.04.16

Airborne 05.05.16

Airborne 05.06.16

AEA2016 LIVE Aero-TV: 04/27-0830ET, 04/28-1400ET, 04/29-1100ET

Sun 'n Fun 2016 Innovation Preview on Vimeo!

Sun 'n Fun 2016 Innovation Preview on YouTube!

Wed, Dec 03, 2008

Ryanair Launches New Bid For Aer Lingus

This Time Around, Gov't Willing To Talk

What a difference two years and a deep recession can make.

In 2006, Irish low-cost carrier Ryanair made a run at acquiring its only major domestic rival, Irish flag carrier Aer Lingus, for about 1.5 billion euro. The economy was booming, Ireland was awash in tax revenue... and the government, unions, management and shareholders of Aer Lingus all hated the deal, so it went nowhere, even though Aer Lingus was losing money.

The Wall Street Journal reports Ireland is now sharing in the deep worldwide recession, the government is running deficits, Aer Lingus is still in the red, and Ryanair is back again. But this time, the offer is only half the amount offered two years ago.

The unions and executives of Aer Lingus are still opposed... but this time around, despite the much lower offer, the government says it will look the deal. Holding roughly a quarter of the company shares, the government's position is seen as crucial.

Ryanair CEO Michael O'Leary points out that economic upheaval and continuing consolidation in Europe's airline industry leave no chance for Aer Lingus to remain viable on its own. Amid concerns for consumers, he points out that Aer Lingus has increased fares and added fees since his last offer.

"The world has changed" since 2006, O'Leary said. "We think what will be most influential to EU regulators will be the Irish government's attitude... Our focus this week will be on persuading the Irish government and Aer Lingus the benefits of the deal."

He adds employee shareholders would get more than 137 million euro in cash, and the government more than 188 million, if the bid is successful. He also thinks he can create a thousand new jobs over the first few years of combined operations.

Ryanair has asked for a meeting with the board of Aer Lingus as soon as possible to explain its position.

FMI: www.ryanair.com, www.aerlingus.com

Advertisement

More News

Airborne 05.04.16: FAA Part 23, IAC AirVenture Theme, Boeing 737 MAX

Also: Supersonic Sound Pollution, Wartime WartHog, Biplanes And Triplanes, Esterline, Airbus H145M, 21st CSAF, NATA Appointment On the eve of an FAA public hearing in College Park,>[...]

FAA Administrator Makes Two Major Drone Announcements

Establishes Advisory Committee To Provide Advice On UAV Issues Speaking today at the AUVSI annual conference in New Orleans, FAA Administrator Michael Huerta announced the agency i>[...]

Airborne 05.03.16: Solar Impulse 2, SpaceX v Mars, 5000 Section 333 Exemptions

Also: Textron Drone, Aero-Calendar, Aviation Gateway Park, NASA And FAA, R22 Flashcards, MI Av Program, ArcaBoard At the time we put this report together, the Solar Impulse 2 had s>[...]

Airborne 05.04.16: FAA Part 23, IAC AirVenture Theme, Boeing 737 MAX

Also: Supersonic Sound Pollution, Wartime WartHog, Biplanes And Triplanes, Esterline, Airbus H145M, 21st CSAF, NATA Appointment On the eve of an FAA public hearing in College Park,>[...]

ANN's Daily Aero-Linx (05.05.16)

USHPA Chapters and Clubs Chapters are member-controlled organizations approved by the USHPA. They are autonomous, self-governing, financially independent groups of flying enthusias>[...]

blog comments powered by Disqus



Advertisement

Advertisement

Podcasts

Advertisement

© 2007 - 2016 Web Development & Design by Pauli Systems, LC