Aer Lingus to make loss this year

Aer Lingus has predicted that it will make an operating loss this year due to the economic slowdown, industrial action and the effect of the foot and mouth crisis.

The airline reported an €80m profit in its annual report for 2000, but bosses have stressed that the industrial environment has dramatically changed.

Chief executive John O'Donovan said the performance in 2000 was good, but due to the turnaround in the aviation sector, Aer Lingus will now begin a root-and-branch review of all its operations, including capacity schedules, costs and revenue.