Brian Cowen (Laois-Offaly, Fianna Fail)

-----and has that prospect in mind. The other involved Ryanair, which is not prepared to negotiate with the DAA but we were prepared to use the IDA as an intermediary. This was a proposal to establish a maintenance operation for its own fleet which would initially employ 200, perhaps rising to 500 over a number of years. Certain conditions were attached to this proposal, one being insistence on the use of the largest hangar at the airport, hangar 6, to be secured for the project. This is problematic as the hangar in question was being used to provide line maintenance for the Aer Lingus fleet at the airport, which was carried out by SR Technics and is now done by Aer Lingus itself. It was the position of Aer Lingus, having a licence on the property, that it required the hangar for the maintenance of its own fleet and would give substantial employment in that respect. We also understand it is the only hangar in Dublin Airport suitable for wide-bodied aircraft used by Aer Lingus.

Nonetheless, the Tánaiste determined that every effort should be made to secure the project and much engagement and discussion took place between Ryanair, the IDA and the DAA and correspondence progressed between them also. The process culminated in a letter from the CEO of the IDA, Barry O'Leary, to Michael O'Leary, the CEO of Ryanair, clearly setting out the position on the options available to progress the project. To date Michael O'Leary has continued to insist that hangar 6 be secured for the project, although he is aware that Aer Lingus has licence of the property and requires it for its maintenance purposes.

It is the Government's view that viable options exist for progressing the project on its own merits, including building a new hangar for the operation at the airport, and to do whatever is necessary to secure it as we believe it is in the interests of Ryanair and the airport, with the prospect of increasing employment at the airport. We strongly believe in re-engagement in discussions on the project, which the Tánaiste will facilitate later this evening with Mr. Michael O'Leary. This is part of the effort to find a viable way forward. If we can do so of course the Government will support it in every respect.

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