Tag Archives: Shannon airport

SHANNON and Cork can have guarantees of Heathrow connectivity for five years if IAG buys the State’s share in Aer Lingus, its CEO Willie Walsh pledged at today’s meeting of the Oireachtas Joint Committee on Transport and Communications. Clare political figures have expressed concern about the possibility of Shannon losing its vital connectivity to Heathrow in the event of a takeover, but Mr Walsh insisted that the guarantee he is offering is far better than what the airport actually has already. He also claimed that while the concern is at one level understandable, it is actually misplaced, given that the route is profitable. Indeed, he went so far as to say that the current Aer Lingus management could not match the IAG guarantee without drawing the ire of some of the shareholders. While he said IAG is happy to give the guarantees and that there is no reason to pull away from what is a profitable route, he stressed that he will not give …

THE current Aer Lingus ownership structure gives no guarantees on the provision of Shannon-Heathrow services, group strategy director of Shannon Group, Patrick Edmond said at the Oireachtas Joint Committee on Transport and Communication. Various political interests have called for the State’s shareholding in Aer Lingus to be retained, claiming it ensures connectivity for the Clare airport. However, Mr Edmond said that is not the case, pointing out that in 2007, Aer Lingus management, under the same ownership structure as exists now, transferred all of the Heathrow slots serving Shannon to Belfast. While Clare TD Timmy Dooley challenged him, Mr Edmond stood firm on his observations. In his first contribution to the sitting, Mr Edmond said that if the Government does opt to dispose of its 25% holding, it should make sure it gets some guarantees around connectivity. “We would, therefore, expect that any Government decision to sell the State’s Aer Lingus stake to IAG would be conditional on an enforceable …

WHILE he didn’t go as far as saying that there is no prospect of a deal with IAG on Aer Lingus in the absence of guarantees for Shannon, Transport Minister Paschal Donohoe stressed that connectivity for the Mid-West will be a very important consideration, when he spoke to The Clare Champion. “We’re looking at all of the consequences that the proposed bid could have for connectivity. I’m very much aware of how important connectivity is for the Shannon region and how important Shannon Airport is. I have said throughout all of this that national connectivity and the particular impact on our regions will be vital if a bid comes in,” he said. There have been claims that even if guarantees for Shannon and Cork are built into an eventual agreement between the State and IAG, they will have no real legal standing. Asked if there are any precedents where guarantees have been given on future connectivity, the minister declined to …

CLARE County Council has passed a motion calling on the Government not to dispose of its 25.1% share in Aer Lingus. At a special meeting of the local authority on Monday afternoon, the members passed the motion unanimously, while efforts are to be made to get other local authorities in the region to take a similar stand. There have been fears that if the proposed IAG takeover of Aer Lingus proceeds that Shannon will lose its Heathrow connectivity and several of the members called on Clare’s Oireachtas members to make sure this does not happen. Councillor Pat McMahon said that a future loss of connectivity would “choke future investment in Clare and the surrounding counties”, while Councillor Cathal Crowe warned that Shannon’s industrial base could be reduced to “large empty warehouses if these slots go”. Calls for the retention of the State’s holding weren’t confined to the Fianna Fáil members, with Fine Gael’s Mary Howard saying she would “be very, …

Transport Minister Paschal Donohoe has said he is very aware of the importance of connectivity to Shannon Airport and to business in Clare. There have been fears that Shannon’s Heathrow links could be lost if the mooted IAG takeover of Aer Lingus goes through, and while the Minister didn’t explicitly rule out a deal which could see the Clare airport losing connectivity, he stressed that he is very aware of how important the link is, and said connectivity would be an important consideration in making a decision on any bid for the State’s 25.1% stake. In an interview with The Clare Champion, he said, “We’re looking at all of the consequences that the proposed bid could have for connectivity. I’m very much aware of how important connectivity is for the Shannon region and how important Shannon Airport is. I have said throughout all of this that national connectivity and the particular impact on our regions will be vital if a bid …

THE Government needs to make the protection of Shannon’s Heathrow connectivity a priority, airport management have said. Rose Hynes was appointed chairman of Shannon Group under the current Government and she called for Shannon’s links to one of the world’s most significant hub airports to be protected. “Aer Lingus is a valued airline partner at Shannon, operating services to our key markets. Heathrow is the single most important gateway for business to and from key international markets for Ireland. It’s essential that current slots and frequencies are retained and contractually protected for the individual Irish airports, including Shannnon. I expect the long-term protection of each Irish airport’s Heathrow slots will be a key priority for Government in it evaluation of this takeover bid.” She welcomed the Taoiseach’s comments that the Government would look at factors beyond the monetary value of the takeover bid. “Connectivity through the Heathrow slots is, quite simply, vital for industry and business for the country as …

This Tuesday morning’s Cabinet meeting could have a significant impact on the future of Shannon Airport. The Board of Aer Lingus has recommend shareholders accept a €1.3 billion takeover offer from IAG. The potential deal will be discussed by ministers at Cabinet this morning, and Transport Minister Paschal Donohue says maintaining employment and connectivity is of the utmost importance. There have been concerns in this region that any sale could damage the local economy, in the event that the new owners move London Heathrow landing slots away from Shannon. Trade unions maintain up to 1,200 jobs could be put at risk if any sale goes through, and are calling on the Government to seek guarantees this won’t occur. Also mentioned this morning, is the importance of retaining the Aer Lingus brand in any takeover scenario.

Clare TD and Fianna Fáil spokesperson on Transport, Timmy Dooley is calling on the Transport Minister to rule out any sale of the Government’s stake in Aer Lingus in order to protect Ireland’s strategic national interests. IAG has come forward with a third offer for the carrier, believed to be worth €2.50 a share. Any such sale could see Aer Lingus’ critical Heathrow slots siphoned off, risking future connectivity and jobs at Dublin, Cork and Shannon airports. “IAG’s pursuit of Aer Lingus is becoming more aggressive with every passing week, and I am gravely concerned by the Minister Paschal Donohoe’s silence on the issue. I’m calling on him to categorically rule out any sale of the Government’s 25% stake in Aer Lingus, and by doing so effectively block the IAG takeover. The fallout from any sale of the airline is being dramatically underplayed,” he said. Continuing, Deputy Dooley said,“The threat to the valuable Heathrow slots could see Ireland’s access to international …