Thursday, January 8, 2009

War of words continues in Ryanair bid

In a case of 'seconds out - round 2' Ryanair today continued the war of words with Aer Lingus after Monday's rejection of the former's offer of €1.40 per share. 
In another open letter to the airline today, Ryanair CEO Michael O'Leary questioned  if there was "any independent expert outside of Aer Lingus who has any faith that your  independence strategy will be successful?". This follows Aer Lingus advisor Goldman Sachs assertion that “it seems inevitable that all European carriers will belong to one of the big three groups (BA, Lufthansa and AF-KLM) either through direct ownership or deeper alliances”.
In addition, Ryanair speculates the fact that Aer Lingus CEO Dermot Mannion has agreed an exit payment for himself irrespective of whether or not Aer Lingus is taken over signals that he does not believe that the airline can remain independent.

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