News

Ryanair Offers Flybe €100m to Take Over Aer Lingus Routes

Ryanair Offers Flybe €100m to Take Over Aer Lingus Routes

As part of its attempt to persuade the European Commission to approve its takeover proposal, Ryanair has offered Flybe €100 million in cash to set up an operation in Ireland that could take over 43 routes from Aer Lingus.

The routes in question are expected to generate a profit of €20 million for Flybe, according to Ryanair’s submission. Flybe confirmed it had accepted Ryanair’s offer in principle in a statement issued to the London Stock Exchange this morning.

Ryanair B737-800NG

The statement said: “Flybe confirms that it has reached an agreement in principle with Ryanair about the possible transfer of a number of aircraft and operating routes as part of a package of concessions Ryanair has submitted to the European Commission.

“The agreement provides for a new company to be incorporated into which the relevant business assets (including cash of €100 million) and liabilities would be transferred and which Flybe would then acquire.

“The agreement has not been approved by the Board of Flybe. It would also be subject to Flybe shareholder approval.

“The implementation of any agreement would be dependent, inter alia, on the status of Ryanair’s offer for Aer Lingus; the outcome of the Commission’s deliberations on the competition aspects of Ryanair’s bid; and the agreement of a timetable for the implementation of the proposed remedies.”

Ryanair has also withdrawn a proposal that British Airways would take over Aer Lingus’s London Heathrow slots. Instead, BA has agreed to take from Ryanair and Aer Lingus their London Gatwick slots for flights to Dublin, Cork and Shannon, according to the Irish Times.

The EC will announce its decision on Ryanair’s latest proposal by 6th March 2013.

View Comments (1)

1 Comment

  1. Alan ODoherty

    February 5, 2013 at 12:41 pm

    What a sad state of affairs is looming…an island nation, outside trade dependent, relying on a budget airline, Ryanair, and a struggling regional carrier, Flybe (seemingly dependent on a hand-out to operate), serving our air traveling public… we cant let this happen!

Leave a Reply

Your email address will not be published. Required fields are marked *

News

NEIL STEEDMAN has been a trade journalist, copywriter, editor and proofreader for 52 years, and News & Features Editor for ‘Irish Travel Trade News’ for the past 42 years.

More in News

CAR Issues Regulation Notice Regarding Sindaco Ltd

Neil SteedmanJuly 20, 2018

Three Airports Welcome Norwegian 2019 Summer Schedule

Neil SteedmanJuly 20, 2018

Aegean Airlines is Skytrax Best Regional Airline in Europe 2018

Michael FloodJuly 20, 2018

Bangkok from €549, Sydney from €1,120 in Emirates July Sale

Neil SteedmanJuly 18, 2018

Lufthansa to Go Five Daily on Dublin-Frankfurt

Neil SteedmanJuly 18, 2018

Singapore Airlines Voted World’s Best Airline at Skytrax Awards

Neil SteedmanJuly 18, 2018

Finnair Extends ATTS Contract to Represent Airline in Northern Ireland

Michael FloodJuly 17, 2018

George Best to Overlook Donegall Square from New Belfast Hotel Rooftop

Neil SteedmanJuly 17, 2018

New Air France Business Lounge at Paris-CDG

Neil SteedmanJuly 17, 2018

Copyright © 2016 Belgrave Group Limited, C4 Nutgrove Office Park, Nutgrove Avenue, Rathfarnham, Dublin 14, Ireland