exactly. While CK was being a smartarse, Loganair already operates the LDY PSO and I believe Flybe did have a look at the last PSO tender as well.
While I do realise the EU regs don't specify a max size CK, the fact is that these are not granted on the nod - they require the assent of the Commission and member states can object. Also as ryan2000 pointed out other airports could then get in on the act.
I had a thought when EI was up for privatisation that the Government should have created a new company, paid EI market value for the slots, put the govt jets etc. on the civil AOC/register (Air Corps doesn't have to be the ones flying the GJs after all) and lease the slots to EI - therefore it could guarantee the slots would never be used in a way they didn't agree with because they could yank the leases and let Aer Arann or Ryanair or someone else operate the services.