Ryanair are having a cry about being forced into Aer Lingus sale

30 May 2013

Bitterwallet - Ryanair new plane livery Ryanair could well be forced to sell their stake in Aer Lingus after regulators said the holding could damage competition on fares and routes.

Of course, chief exec Michael O’Leary isn't happy and opened and closed his mouth, letting all the words fall out in no particular order, spitting that the Competition Commission’s provisional decision was “bizarre and manifestly wrong” and “yet another enormous waste of UK taxpayer resources on a case which has little if any impact on UK consumers”.

The CC reckon Ryanair’s 30% share of the rival airline could hit competition on routes between the UK and Ireland, saying: “the shareholding gives Ryanair the ability to influence the commercial policy and strategy of Aer Lingus, its main competitor on these routes."

"It allows it to block special resolutions by Aer Lingus and to hinder its plans to issue shares and raise capital; it could also prevent its rival from disposing of its valuable slots at Heathrow airport."

O’Leary continued ranting: "In February the European Commission found that competition between Ryanair and Aer Lingus has ‘intensified’ since 2007. [So this] decision by the CC will clearly breach the EU Treaty duty of sincere cooperation between the EU and the UK. Ryanair therefore calls on the Competition Commission to abide by this overriding legal principle and end this bogus and baseless enquiry into a six-and-a-half-year-old minority shareholding between two Irish airlines."

"Aer Lingus accounts for less than 1% of the UK’s total air traffic… [This case] is yet another enormous waste of UK taxpayer resources on a case which has little if any impact on UK consumers."

Ryanair will be taking the case to the UK Competition Appeals Tribunal if the CC confirms its decision in July, and “thereafter, if necessary, to the Court of Appeal”.

Ryanair there, who have whined about tax, unions, hit customers with sly charges and lambasted "environmental whingers", hoping for sympathy from everyone.

9 comments

  • klingelton
    yey! we've not had a bash at Ryanair in ages!
  • oliverreed
    @klingelton indeed, however Murdoch can do the fuck what he likes - and I thought everyone loved the Irish?
  • Tavern T.
    Why would anybody love a country that hides and protects murderers?
  • shiftynifty
    O’Leary O`really…..
  • oliverreed
    @Tavern In The Town Limericks?
  • Grammar N.
    Twat. Complete spin and PR. Minority shareholding? Yes, but can still block a special resolution, appoint directors and influence the company. And they will certainly not be a "silent" minority. Less than 1% of the UK air traffic? Maybe, but that is clearly not the relevant market when it comes to competition - it's the UK-Ireland route which AL will have a much greater share of.
  • Marky M.
    I flew with Aer Lingus to New York a few years ago. The service was fine, the staff were friendly, and it was a nice start to the holiday. I went with them again in February, and Ryanair's influence was obvious. The aircraft was grubby, and EVERYTHING was "that's extra, sir". The staff were stressed and under pressure to sell, sell, sell. Sure I received the journey I'd paid for, but it was a joyless affair. And that's the problem with Ryanair: they cheapen everything they touch, and this race to the bottom takes all the pleasure out of travel.
  • Richard M.
    I fully understand the comments about a 'lack of competition'. Since the closure of BMiBaby last summer, Monarch appear to have had a field day with their fares from Birmingham to Malaga. Two returns in July are around £700, up from about £400 last year.
  • Joulupukki
    BMIBaby were brilliant from EMA. A big loss.

What do you think?

Connect with Facebook, Twitter, or just enter your email to sign in and comment.

Your comment