Aer Lingus makes €1.2 million profit after restructuring costs factored in

ANNUAL profits at Aer Lingus were reduced to just €1.2 million last year after €97m was paid for hundreds of voluntary redundancies.

The airline made operating profits of €107m in 2004, up 29% on the previous year, but when the restructuring charge and other items are stripped out, pre-tax earnings were just €1.2m.

Under a radical business plan devised by former chief executive Willie Walsh to turn the airline into a low- fares carrier, some 734 people left the airline last year and a further 185 have departed since January. Aer Lingus is also seeking extra cuts to its cost base this year and up to 480 jobs could go if changes to working practices and efficiencies are not made.