RYANAIR URGES AER LINGUS WORKERS
TO ACCEPT RYANAIR'S OFFER
Ryanair, Europe’s largest low fares airline, this afternoon (Thursday, 26th October) encouraged all Aer Lingus employees to accept Ryanair’s generous offer of €2.80 per share which will result in Aer Lingus employees realising over €220m. for their shares in the airline, which equates to an average of over €60,000* per employee, with a tax free option for ESOT members.
Reports in this morning’s Irish newspapers indicated that the Chief Executive of Aer Lingus, in a meeting with the trade unions last evening, highlighted the need for significant cost cuts in Aer Lingus, and that this may include significant job cuts. If these reports are true, it would appear that Aer Lingus’ response to Ryanair’s offer is job cuts, but without an average payment of €60,000* per Aer Lingus employee.
Commenting on this development today, Ryanair’s Chief Executive, Michael O’Leary said:
“The difference between Ryanair’s offer and the alternative reported Aer Lingus management offer is that at least with the Ryanair offer Aer Lingus employees stand to realise an average of over €60,000* per person. With Ryanair, Aer Lingus will have a strong financial partner and a secure future. As a small stand alone airline, Aer Lingus’ only alternative appears to be further cost cuts, more job cuts, but without any average payment of €60,000* to Aer Lingus employees.
“If these developments are true, it’s clear that the best interests of Aer Lingus employees are served by accepting Ryanair’s generous offer, because their future as a small uncompetitive, stand alone Aer Lingus looks even bleaker today than it did yesterday”.
* See Section 8, Appendix 4 of the Ryanair Offer Document.
The directors of Ryanair accept responsibility for the information contained in this announcement. To the best of the knowledge and belief of the directors of Ryanair (who have taken all reasonable care to ensure that such is the case), the information contained in this announcement for which they accept responsibility is in accordance with the facts and does not omit anything likely to affect the import of such information.
Terms defined in the Offer Document issued by Ryanair on 23 October, 2006 have the same meaning in this announcement.