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01/12/2008
Ryanair Flies Into Takeover Turbulence
There's a multi-million euro bid for Aer Lingus on the table today as budget airline Ryanair makes a fresh takeover offer.
The all-cash offer would value Aer Lingus at €748m euros (£619m) a lot less than the previous offer for Aer Lingus, which valued it at €1.5 billion. While Ryanair's most significant Irish presence is at its Dublin Airport base, it also flies from George Best Belfast City Airport and City of Derry in Northern Ireland.
If it were to achieve overall ownership of its existing competitor, the major hub that Aer Lingus opened last year at Belfast International Airport would bring significant benefits and a broader range of services.
However, it also emerged that if the deal were to go ahead both airlines would continue to operate as separate companies with their own brands.
Ryanair's last bid for the airline was blocked by the European Commission on competition grounds with Rynair now responding that since its last offer was blocked by the Commission, there had been big changes in the sector.
The proposed deal comes on top of a turbulent few months at Aer Lingus, with staff at the point of national strike action as their management set out a series of swinging cut-backs and out-sourcing of jobs.
A compromise deal was only just finalised last month, but any new owner would still be likely to encounter a troubled few months, as a large number of jobs are still to be lost, after the unions agreed a deal to cut costs.
Previously, the EC judgment said that the combined airline would have controlled more than 80% of European flights to and from Dublin airport.
However, speaking to the media today, Ryanair boss Michael O'Leary said: "The world has changed dramatically over the past two years, as high oil prices and deep recession have caused a flood of airline bankruptcies, consolidations and capacity cutbacks.
"Aer Lingus, as a small, stand-alone, regional airline has been marginalised and bypassed as most other EU flag carriers consolidate," he claimed.
Ryanair already owns 29.82% of Aer Lingus with other major shareholders including the Irish government and Aer Lingus employees, both of which rejected the takeover offer last time.
See: Deal At Aer Lingus Ends Strike Threat
(BMcC/KMcA)
The all-cash offer would value Aer Lingus at €748m euros (£619m) a lot less than the previous offer for Aer Lingus, which valued it at €1.5 billion. While Ryanair's most significant Irish presence is at its Dublin Airport base, it also flies from George Best Belfast City Airport and City of Derry in Northern Ireland.
If it were to achieve overall ownership of its existing competitor, the major hub that Aer Lingus opened last year at Belfast International Airport would bring significant benefits and a broader range of services.
However, it also emerged that if the deal were to go ahead both airlines would continue to operate as separate companies with their own brands.
Ryanair's last bid for the airline was blocked by the European Commission on competition grounds with Rynair now responding that since its last offer was blocked by the Commission, there had been big changes in the sector.
The proposed deal comes on top of a turbulent few months at Aer Lingus, with staff at the point of national strike action as their management set out a series of swinging cut-backs and out-sourcing of jobs.
A compromise deal was only just finalised last month, but any new owner would still be likely to encounter a troubled few months, as a large number of jobs are still to be lost, after the unions agreed a deal to cut costs.
Previously, the EC judgment said that the combined airline would have controlled more than 80% of European flights to and from Dublin airport.
However, speaking to the media today, Ryanair boss Michael O'Leary said: "The world has changed dramatically over the past two years, as high oil prices and deep recession have caused a flood of airline bankruptcies, consolidations and capacity cutbacks.
"Aer Lingus, as a small, stand-alone, regional airline has been marginalised and bypassed as most other EU flag carriers consolidate," he claimed.
Ryanair already owns 29.82% of Aer Lingus with other major shareholders including the Irish government and Aer Lingus employees, both of which rejected the takeover offer last time.
See: Deal At Aer Lingus Ends Strike Threat
(BMcC/KMcA)
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02 June 2009
Ryanair Flies Low
The budget airline Ryanair - which flies from two bases in Northern Ireland - 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 - which flies from two bases in Northern Ireland - 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.
19 October 2007
Ryanair Hits Out As Aer Lingus Takes Flight
The latest news on the controversal Aer Lingus move to a Belfast operation - closing the Shannon-Heathrow route - is that its biggest rival (and ironically, its biggest shareholder), Ryanair is to provide three additional daily flights to London from Shannon Airport to ensure capacity and traffic does not fall as a result of the closure.
Ryanair Hits Out As Aer Lingus Takes Flight
The latest news on the controversal Aer Lingus move to a Belfast operation - closing the Shannon-Heathrow route - is that its biggest rival (and ironically, its biggest shareholder), Ryanair is to provide three additional daily flights to London from Shannon Airport to ensure capacity and traffic does not fall as a result of the closure.
14 August 2007
Aer Lingus Pilots Announce 48-Hour Strike
Around 500 Aer Lingus pilots have announced plans to hold a 48-hour strike next week, in protest over plans to pay staff at the company's new Belfast operation less than those in the Irish Republic. The strike is due to be held next Tuesday and Wednesday and is expected to affect all the air routes run by Aer Lingus.
Aer Lingus Pilots Announce 48-Hour Strike
Around 500 Aer Lingus pilots have announced plans to hold a 48-hour strike next week, in protest over plans to pay staff at the company's new Belfast operation less than those in the Irish Republic. The strike is due to be held next Tuesday and Wednesday and is expected to affect all the air routes run by Aer Lingus.
16 December 2008
Revamped Ryanair Offer Shot-Down
Aer Lingus - which recently marked its first year of operation at Belfast International Airport - has rejected a fresh Ryanair take-over offer despite a revised bid from the budget airline.
Revamped Ryanair Offer Shot-Down
Aer Lingus - which recently marked its first year of operation at Belfast International Airport - has rejected a fresh Ryanair take-over offer despite a revised bid from the budget airline.
08 October 2008
Belfast To Soar Above Aer Lingus Strike
Proposed strike action by staff at the former state-run Irish airline, Aer Lingus may not ground flights from the newly opened Belfast International Airport 'hub'. Aer Lingus has insisted that passengers flying on its services to and from Belfast would not be affected by proposed industrial action.
Belfast To Soar Above Aer Lingus Strike
Proposed strike action by staff at the former state-run Irish airline, Aer Lingus may not ground flights from the newly opened Belfast International Airport 'hub'. Aer Lingus has insisted that passengers flying on its services to and from Belfast would not be affected by proposed industrial action.
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Northern Ireland WeatherToday:A showery start with outbreaks most frequent north of Lough Neagh and through the morning, before dwindling during the afternoon as the northwest breezes ease and brighter spells of weak sunshine prosper. Maximum temperature 8 °C.Tonight:A dry night, save for a few light showers around the coasts, with prolonged clear spells and light winds bringing a frosty dawn for many in central and southern parts. Minimum temperature -3 °C.
