Aer Lingus chiefs meet Dempsey to discuss Ryanair bid

Aer Lingus chiefs are meeting with Transport Minister Noel Dempsey today to discuss Ryanair's takeover proposal.

Earlier this month, Ryanair chief executive Michael O'Leary put forward an offer of almost €750m for the former national carrier.

Aer Lingus bosses quickly rejected the offer, saying it significantly undervalued the company.

However, some economists have come out in support of the proposed merger.

The Government still has a 25% stake in Aer Lingus and is understood to be prepared to consider Ryanair's offer if the price is increased.

Ryanair is promising to maintain Aer Lingus as a separate brand, recognise trade unions at the company and put the airline's valuable Heathrow slots under the control of the Government.