Joe Costello (Dublin Central, Labour) | Oireachtas source

The CEO of the International Airlines Group, IAG, came before the Oireachtas Joint Committee on Transport and Communications last week. At the committee meeting and in public utterances he gave a cast iron guarantee that he would commit to certain undertakings for five years, particularly in respect of the Heathrow slots. He indicated that in the event of a takeover of Aer Lingus it would continue as a separate entity in its entirety.

What would be the situation of the board of directors of Aer Lingus in such an event? It has certain responsibilities in respect of commercial strategy, the operating budget and the present role of Aer Lingus. To what extent will that all remain in place if it is a separate entity? There are 12 members on the board, which could have 13 members. The former CEO, Christoph Mueller, was recently replaced by Stephen Kavanagh and I wish him well. The chief financial officer is Andrew McFarlane.

They are the new executive directors, whereas I understand all of the others are non-executive directors. Did the Minister appoint any member of the existing board and, if so, whom? Will he tell me why, although three appointments can be made by the relevant Minister for Transport, Tourism and Sport, only two of them have been filled? Does he have plans to make the third appointment within his remit? Will he further tell me what is the term of office of each of the members of the board of directors? On examining the available information, it appears as though most of the appointments were made in 2009 or 2010 and that, therefore, most of the appointees are in their second term of office. The Minister should confirm whether that will be the end of their tenure and indicate what his intentions might be at the end of that period.

If a takeover takes place, what will happen to the existing board? Will it continue as before, with all of the powers it has at present as laid out in statute? Will there be a change to the board's current powers? How long will the existing board be allowed to stay in place and how will this operate? Will it stay in place for a period of three or five years or until its current term expires? Thereafter, will board members be obliged to seek renewal or otherwise? Who will appoint the new board if the takeover takes place? What will be the board's duties and functions? Will they be as comprehensive as the current set of functions? How will the new Aer Lingus and its board be integrated into the proposed new entity if a statement has been made to the effect that Aer Lingus will remain a separate entity in its entirety? My main concern is what will happen after the five years have passed. What say will the board then have on the future of the company?

See this speech in context