neidin
16th Nov 2004, 19:11
The Aer Lingus three musketteers resigned today under increasing pressure from the Govt. over Corporate Governance issues during their abortive attempt to buy the airline on the cheap from the Irish Govt. I posted as much on 8th Oct. "The people in Aer Rianta Dublin expect the WW gang to break up Autumn 2005 and spread their wings East." Ah big egos do grow from newspaper supplements.
The Aer Rianta brass say that the 3 Guys have offers of backing from hedge and leveraged funds to start a new European Low Cost TA airline. Two of the three are more likely to follow their former collegaue Conor McCarthy who has made a mint with Air Asia. They have backing from one of the US funds who sold FR short. How good the funds money is post an EI breakup remains to be seen. It is one thing slashing costs at an airline with monopoly slots at LHR and TA - quite another to start an airline.
Where does this leave Irish aviation. Well SNN can breath a sigh of relief as WW was shafting them and now that the lunatics have retaken the asylum - SNN will be saved for a while from a complete EI pullout. At least until after the election 2006.
ORK - likely they will suffer a state push again at SNN. WW and co loved ORK - the Govt. will force planes to SNN.
KIR Kerry - will likely benefit from the complete chaos that prevails - the UK LCA's are planning to chase the internal DUB-KIR subsides come Spring 2005.
NOC - well it is a great story and song - but the airlines are not getting yield - and all the free fees in the world - still can't get you out of a foggy boggy hole.
Aer Arran will benefit as WW and SK hated them and shafte AA at every turn. EI staff will benefit and get pay increases and better conditions. The Irish Govt. party will likely gain a seat or two in Dublin as a result of the better treatment of the airport staff.
Ryanair will massievly benefit as EI takes its eye off the ball.
The biggest loser will likely be the Irish taxpayer.
Neidin.
The Aer Rianta brass say that the 3 Guys have offers of backing from hedge and leveraged funds to start a new European Low Cost TA airline. Two of the three are more likely to follow their former collegaue Conor McCarthy who has made a mint with Air Asia. They have backing from one of the US funds who sold FR short. How good the funds money is post an EI breakup remains to be seen. It is one thing slashing costs at an airline with monopoly slots at LHR and TA - quite another to start an airline.
Where does this leave Irish aviation. Well SNN can breath a sigh of relief as WW was shafting them and now that the lunatics have retaken the asylum - SNN will be saved for a while from a complete EI pullout. At least until after the election 2006.
ORK - likely they will suffer a state push again at SNN. WW and co loved ORK - the Govt. will force planes to SNN.
KIR Kerry - will likely benefit from the complete chaos that prevails - the UK LCA's are planning to chase the internal DUB-KIR subsides come Spring 2005.
NOC - well it is a great story and song - but the airlines are not getting yield - and all the free fees in the world - still can't get you out of a foggy boggy hole.
Aer Arran will benefit as WW and SK hated them and shafte AA at every turn. EI staff will benefit and get pay increases and better conditions. The Irish Govt. party will likely gain a seat or two in Dublin as a result of the better treatment of the airport staff.
Ryanair will massievly benefit as EI takes its eye off the ball.
The biggest loser will likely be the Irish taxpayer.
Neidin.