Fianna Fáil in bid to ground Aer Lingus sale as secret report emerges

Fianna Fáil will attempt to put the brakes on the sale of Aer Lingus today after the emergence of a secret management report which outlines potential savings of up to €80m in the airline.

Aviation group IAG moved to ease concerns about the deal yesterday, with chief executive Willie Walsh saying the takeover would boost economic growth and help create jobs.

IAG’s €1.4bn bid for Aer Lingus is expected to be backed by Labour TDs in a crucial Dáil vote today, following stronger guarantees on airport slots and jobs.

It will then be up to Ryanair to sell its own shares and, essentially, pave the way for the takeover.

The Government says the deal will allow it to veto changes to crucial routes, that the takeover secures the future of Aer Lingus and that hundreds of new airline jobs will be created. Some €335m from the sale of the State’s stake will go into a special ‘connectivity fund’ to support major transport, road and broadband projects.

Fianna Fáil, though, highlighted an Aer Lingus report by consultants Nyras which looked at savings in ground handling, catering and maintenance and which it claimed could result in job losses, but the airline said the savings of between €60m and €80m were not job related.

With formal notices of a takeover to shareholders and approval from Brussels needed, it is expected IAG control of Aer Lingus will not be finalised until August.

READ NEXT: Q&A: Everything you need to know about the Aer Lingus deal

READ NEXT: Dusseldorf the first new route as IAG grows Cork Airport services

READ NEXT: Talk of ‘opportunity’ for IAG leaves many questions unanswered

READ NEXT: Siptu warns of ‘major job losses’ after Aer Lingus sale

READ NEXT: Michael Noonan lists positives of pending sale of Aer Lingus

READ NEXT: Willie Walsh expects Ryanair ‘to act rationally’ when Aer Lingus offer made


More on this topic

Aer Lingus records €45m operating profit since joining IAGAer Lingus records €45m operating profit since joining IAG

Government to formally accept IAG's offer for Aer LingusGovernment to formally accept IAG's offer for Aer Lingus

Aer Lingus shareholders vote in favour of IAG takeoverAer Lingus shareholders vote in favour of IAG takeover

Gatwick slots handed over for Aer Lingus sale approvalGatwick slots handed over for Aer Lingus sale approval


I see that a website describes the call of Canarian cory’s shearwaters as ‘waca waca’. It’s a mad, hysterical call, uttered when the parent birds arrive to feed their nestlings.Cory’s shearwaters show long-distance qualities

Is it too much to hope that an important public health matter, such as Lyme disease, will be an issue in the general election? There’s been a worrying reluctance by the authorities to face up to the extent of the disease here.Facing up to Lyme disease

A paper published in Current Biology examines the extinction of a colourful little bird which, until recently, thrived in the eastern US. With the appalling environmental catastrophe enveloping Australia, home to 56 of the world’s 370 parrot species, this account of the Carolina parakeet’s demise is timely.Trying to save the parrot is not all talk

The recent rescue of a trawler 20km north of Fanad Head in Co Donegal gave us a glimpse of the enormous seas that occasionally strike that part of the coast.Islands of Ireland: Inishbeg Island begs the question

More From The Irish Examiner