Now factor in the forthcoming €97 Million cost saving (delayed Cabin Crew circa €20 Million accepted) plus the sorting out of the hedging and Gatwick fiascos during this year and we'll see about 'the last gasps of the Irish Dinosaur'. I expect a small profit for 2010 and a bigger one for 2011.
And how much is that cost saving going to cost to achieve ?
Lets see even if they started today its highly unlikely that they could get rid of everybody on their target list by 30th of June at the earliest so the saving is not going to happen in full this year, lucky to get 1/3 of it.
Fact is with holidays and other stuff that would need to be paid any saving would be small.
However given that Aer Lingus seems to have reduced its cash pile by 50% in a year and its passenger numbers will be on the decline for rest of the year plus low fares then you have to wonder whether it will actually have the cash going forward.
It spend €100-120 Million in getting rid of staff last year and it will possible be something along that lines again so its issue now is whether it has enough cash going forward.