neil330

i'm really starting to get worried for the future of Aer Lingus, I was just reading the news about the €74m cost cutting plan. the basic jist is that they are going to cut up to 1500 jobs including cabin crew, replacing them with Americans. even after this they expect to lose €20m next year. BA also announced rote cuts and if a relatively large airline like Alitalia can go bankrupt whats to say Aer Lingus can't?

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Chard

BA is the most conservative airline in the world, The Dublin route wasn't cut because it doesn't make money, just it didn't make enough money for their high standards...

Air Lingus could easily go bankrupt, then again their could be a takeover bid ( BA, LH or AF). I suspect the brand would remain the same in the latter..

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neil330

i really hope so, but it wasnt a dublin route cut it was lhr-to some indian routes and lgw to some other routes???maybe lufthansa but ithink they are trying just to look after themselves first. well my dad just has about 5 or so years left at Aer Lingus but that is somewhere i would have been looking for a job!!!but there not gone yet!!

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RealGliderPilot

I'd rather see Aer Lingus survive than Ryanscare.

Darien Red Sox

I would like to see them join the Sky Team. KLM all ready co-shares with them on there EHAM - EIDW. Perhaps by being in a alliance they could attract more customers and co-share agreements. It would also be nice if they brought Being back into there fleet.

Mdt101

Here is a CNN report about this.
Irish airline seeks merger*

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Juneau_Flyer_18

There going down, face it dude. Its just like all the great airlines. Oh how the mighty have fallen....Sad day.

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DeltaFlyte

Ryanair is looking into taking over Aer Lingus; however, their plan is to keep the Aer Lingus brand of service, uniforms , and aircraft livery as it is in the name of "Irish Nationalism". In other words, Ryanair would melt into Aer Lingus whereas Ryanair would disappear, not the other way around.

Captain Wahoo

I would hate to see a great airline like Aer Lingus go under. Maybe Doc can post some F/A pics for us.

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Boeing777

Well is Ryanair takes them over/merges with them, I think that it would be a win win situation. Aer Lingus is in a "recession" so to speak as is the rest of the world's airlines (maybe except Southwest with their money making ideas ) and since Ryanair wants to come to the U.S. then it'd be logical.

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MrMD11

Man, you know times are tough when airlines begin outsourcing to the Americans

Mudanglee

I always liked Aer Lingus but the airline industry is a tough place and with the global economy the way it is there will likely/unfortunately be dozens of airlines going under. The trick is not to grow too big too fast.

neil330

I really cannot see this happening, first of Aer Lingus is in a recession but so is Ryanair, he is trying to merge two airlines losing money! Though this is not a merge but rather a 100% takeover! Aer Lingus will remain for about another 5 or so years but then I see someone like Lufthansa or Air France taking them over, but not Ryanair, never Ryanair! To be honest I think airlines like Delta is in more trouble, they are loosing money by the day! I don't think the NW merger will help!

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lufthansa340

Companies do not go into recessions... economies do

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DeltaFlyte

I wouldn't worry too much about Delta or their merger/aquisition of Northwest Airlines, Delta will be around for many years to come. Aer Lingus on the other hand is plagued with more problems on their day to day operations while trying to ward off a hostile takeover by Ryanair. Hopefully they can find a consortium of investors to fend off any takeover for they are not in a financial position to do it on their own accord. Even the government is considering such a take-over bid as per Reuters News Agency:

Govt. More Open To Ryanair's Aer Lingus Bid - Report

December 8, 2008

Irish government opposition is weakening to Ryanair's EUR750 million euro (USD$952 million) bid for former state airline Aer Lingus, the Sunday Tribune newspaper reported.

The government, which owns more than 25 percent of the loss-making flag carrier, opposed Ryanair's 2006 bid for Aer Lingus, which was blocked by the European Union on competition grounds.

There is now "an awful lot less opposition" to the bid, the Sunday Tribune quoted senior government figures as saying.

A spokeswoman for the transport ministry said it would not comment until Ryanair submits its formal bid for Aer Lingus. Europe's biggest budget airline said on Thursday it would publish the formal bid within the next two weeks.

"There has been a sea-change in attitude from two years ago," the newspaper quoted the unnamed government sources as saying.

"I wouldn't put it at 50-50 that the government will endorse the deal. It's more like 35-65. But two years ago it was 99-1 (against)," one senior figure told the Sunday Tribune.

Ryanair, which already owns almost 30 percent of Aer Lingus, has offered 1.4 euros for each Aer Lingus share it did not own, half the price of its previous bid in 2006.

On Thursday, it also offered to recognize unions at Aer Lingus, to create 1,000 jobs and to give government full control over Aer Lingus's valuable landing slots at London's Heathrow Airport.

Aer Lingus's board said it would fight vigorously to defend the company's independence and added that it expected investors to support it.

Employees hold more than 14 percent in Aer Lingus, and a separate report by the Sunday Independent newspaper said Ryanair would try to convince pilots to back the deal.

Ryanair will this week offer to recognize the Irish Airline Pilots' Association if the union pledges its entire pension fund stake in Aer Lingus to back the bid, the newspaper said.

Unions representing Aer Lingus workers have already dismissed Ryanair's offer of recognition.

Ryanair chief executive Michael O'Leary has said he would keep the two airlines separate and has characterised his offer as a lifeline for Aer Lingus, which is expected to report operating losses this year and next due to a deepening recession.

"We're the white knight here," O'Leary told the Sunday Independent. "We're the only solution the government and Aer Lingus have to securing Aer Lingus' future."

(Reuters)

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