Flybe Group reaches agreement with Ryanair to create Flybe Ireland in the event of a successul bid b

The Board of Flybe Group plc ('Flybe') has today announced that it has reached agreement with Ryanair Holdings PLC ('Ryanair') over the possible transfer of a number of aircraft and operating routes as part of a package of remedies that Ryanair has submitted to the European Commission DG Competition ('EC'), in the context of its offer for Aer Lingus Group PLC ('Aer Lingus')

The proposed transaction is contingent upon the EC's approval of Ryanair's proposed remedies and a successful bid by Ryanair for Aer Lingus. If Ryanair's acquisition of Aer Lingus is completed, Flybe expects to seek formal shareholder approval for the acquisition of Flybe Ireland from Ryanair in early Autumn 2013.

Flybe also announces that it has received irrevocable acceptances representing 64% of the shareholders in support of this possible transaction. The European Commission had insisted on the pledging of irrevocable acceptances by over 50% of Flybe's shareholders as a condition precedent for the deal to create Flybe Ireland proceeding.

There will be a conference call for analysts and investors at 11am this morning. To register your attendance, please contact Helen Tarbet on 020 7457 2025 or helen.tarbet@collegehill.com