Irish Transport Minister outlines reasons for sale of stake in Aer Lingus to IAG

Ireland's Minister for Transport, Tourism and Sport Paschal Donohoe outlined (27-May-2015) the "five key reasons" the government has agreed to sell its 25.11% stake in Aer Lingus to International Airlines Group (IAG), in a speech to the Dáil:

• A sale strengthens the competitive position of Aer Lingus, reduces risk to the company and provides it with an opportunity within a larger group to grow and face the challenges in a changing aviation environment;
• It gives greater certainty around connectivity to Heathrow. It strengthens the guarantees around disposal of Heathrow slots and further more provides new guarantees around slot utilisation for at least seven years that Ireland does not have today;
• It promotes Ireland's wider connectivity and can bring growth to its airports. It is anticipated this move will bring benefits to both Aer Lingus's long-haul and short-haul networks within the IAG group. There will be a focus on sustaining and growing routes from Dublin, Cork, Shannon and Knock;
• A sale will create employment. It is envisaged that by the end of 2016, a new net 150 jobs will have been created in Aer Lingus, rising to a new net total of 635 jobs by 2020;
• It protects the Aer Lingus brand and keeps its head office in Ireland.

Mr Donohoe stated: "We are seeking the approval of this House to proceed to do so on the basis of the principles that have been laid before you and which have been presented to you today. In the interests of the company and the country I encourage you to do so." [more - original PR]