RSS
News


Home Page > News > Aer Lingus may end money-losing U.S.-Ireland services

Blogs


comment on article Make a comment
print this article Print
email this articleE-mail

Aer Lingus may end money-losing U.S.-Ireland services

Airline may contract out to third party

By
KENNETH HAYNES,
IrishCentral.com Staff Writer

Published Monday, September 21, 2009, 8:40 AM
Updated Monday, September 21, 2009, 10:15 AM

 

Bookmark and Share

Aer Lingus may give up on its U.S.-Ireland services
Aer Lingus may give up on its U.S.-Ireland services
Photo by Steve Parsons/PA

With news that Aer Lingus’ first-half losses almost quadrupled last year’s comes reports that Ireland’s second biggest airline may give up on Ireland-U.S. flights and contract out to a third party.

The Irish airline, which will soon release its newest cost restructuring plan, reported a loss of €93 million ($132 million), compared to a €23.4 million ($34.2) loss last year. Sales fell 12 percent to €555 ($812) million, with average fares down 17 percent.

Aer Lingus’ new chief executive, Christoph Mueller, has said that the airline needs an “amputation,” not “cosmetic surgery” to reduce costs, and that long-haul flights to the U.S., especially those from Shannon, are under fire. Transatlantic services accounted for around €60 million of first-half losses.

Mueller stated that he appreciates the “national importance” of Aer Lingus’ American routes, but said that his airline is “not a charity,” suggesting that the Shannon to New York route has only survived due to pressure from the Irish government.

Reports say Mueller is hesitant to run any further money-losing services from Shannon at a time when Aer Lingus staff are being laid off or asked to take a pay cut.

The chief executive rated Aer Lingus’s odds of survival at “50-50.”

Aer Lingus’ cost-cutting plan will be unveiled in mid to late October after the Lisbon vote, so as not to further complicate matters for the Irish government.

print this article Print
email this articleE-mail


Be the first to make a comment.

It may take several minutes for your comment to appear.


Click to learn more from DiscoverIreland.com.
IrishCentral Mobile QR code


Connect to IrishCentral with your Facebook account

or sign-in directly

Welcome to IrishCentral!
Please provide the following information in order to create your account

Username:
E-Mail Address:
Password:
Confirm Password:
I agree to the Terms of Use and Privacy Policy


Welcome to IrishCentral!
All we need is the following information and you will be part of the #1 Irish community in the US

E-Mail Address:
First select a unique username:
Username:
Now choose a password:
Password:
Confirm Password:
I agree to the Terms of Use and Privacy Policy
Thank you!

Just one more step and you will be part of the largest Irish community in America! Tell us a little more about you to start enjoying all the features of IrishCentral.

Additional Information:

First Name:
Last Name:
Date of Birth:
Zip:
Gender: Male  Female 
Country:
Degree of Irishness:
Household Income:
Level of Education:

Subscribe to our newsletters:

The Best of IrishCentral - Daily Newsletter
Special Offers from our sponsors

or
Skip

You can edit your information at any time, just go to "my account" when you're logged in.

Log into IrishCentral with your Facebook account

or sign-in directly

E-Mail:
Password:
 Remember me Forgot my password