Oireachtas Joint and Select Committees

Thursday, 12 February 2015

Joint Oireachtas Committee on Transport and Communications

Proposed Sale of Aer Lingus: (Resumed) IAG

2:00 pm

Photo of Dessie EllisDessie Ellis (Dublin North West, Sinn Fein) | Oireachtas source

Mr. Walsh is quoted as saying so in the interview to which I refer. He was also reported by RTE as arguing that "it would be crazy to extend a guarantee that Aer Lingus's Heathrow rights would only be used to service Irish routes beyond the proposed five years, as this would affect its bargaining power with suppliers and airports." In other words, IAG would guarantee the slots for five years, but the impression is not given that he could guarantee them beyond this. I do not know how the lawyers will tidy up that matter.

Mr. Walsh has stated he is a shareholder in Aer Lingus. I do not know whether he would benefit if the company were to be sold off or whether his shares would be transferred to IAG and combined with any interest he may have in the group. Does he have shares in IAG? If he does have shares and if they were combined with his shares in Aer Lingus, I do not know what overall influence he would then be able to exercise. I do not know what his position is, but I would like to obtain an indication of it.

Mr. Walsh has also indicated that he is a deferred pensioner. This is an extremely contentious issue. We are all aware of what has happened at Aer Lingus, but will Mr. Walsh indicate whether he has plans to address this issue even further? I understand issues relating to pensions also arose in respect of IAG when the merger took place in 2011. When Iberia and British Airways came together, there were plans to reduce the workforce by over 2,500 and the fleet. On the one hand, Mr. Walsh is stating the group is going to expand if it takes over Aer Lingus but, on the other, it is clear that there will be job losses in a number of areas. It is also possible that the size of the fleet will be reduced.

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