Burton ‘not convinced’ about Aer Lingus takeover
Not one Labour senator, TD or minister backed the sale of the Government’s 25% share in Aer Lingus at the party’s weekly parliamentary meeting last night.
Fine Gael’s own parliamentary party meeting also heard contributions from TDs opposed to the sale of the airline, with particular attention focused on the loss of landing slots and jobs in the airline.
The debates come as the airline considers a takeover bid by International Consolidated Airlines Group, the parent company of British Airways.
The Government has referred the €1.3bn offer to a review group, but ultimately alone cannot veto the bid with just 25% of shares in the airline.
TDs based in north Dublin, Cork, as well as areas near Shannon, are most concerned about how a sale could affect job numbers, local business and the loss of flight routes.
Transport Minister Paschal Donohoe has said it will be weeks before a report comes back to government about the IAG bid.
But senior party sources and TDs are, at this stage, adamant that not enough has been guaranteed to protect routes linked to Heathrow, jobs and connectivity for Ireland in general.
Former minister and Dublin TD Joe Costello last night told the Labour meeting the airline was “part of the family silver” and any loss of it could be “detrimental to the national interests”.
Speaking afterwards, he added: “The meeting was very positive about retaining the State’s interest in Aer Lingus.
“Speaker after speaker expressed the wish that that would be desirable to ensure the maximum influence on the future of Aer Lingus, if a sale did take place.”
Party sources confirmed that Labour leader Ms Burton told her TDs she remained to be persuaded about selling the Government’s stake in Aer Lingus.
“She listened carefully but said she hasn’t been convinced of arguments put forward [to sell].”
“There was a very strong view that we need to protect Aer Lingus and the best way to that is not to sell the shares. Nobody put up a contrary vie,” said a party source.
Fine Gael Limerick TD Kieran O’Donnell made a financial presentation to party TDs on the bid.
There was a need to preserve the Heathrow slots, transatlantic flights from Shannon and connectivity on a national level, he said.
Some TDs said any loss of routes to Cork could also be “catastrophic”, with TD Jerry Buttimer leading a debate about routes to and from his home city.
Mr Donohoe insisted any decision on the State’s share would focus on connectivity.
