Dermot Mannion quits as Aer Lingus Chief executive

Aer Lingus announced Monday that Dermot Mannion was stepping down from his role as Chief Executive, effective immediately . His departure after four years at the helm of the former state airline brings to ten the number of Chief Executives at the airline in the past 16 years. In a statement, Aer Lingus said that Chairman of the Board, Colm Barrington would assume the role of Chief Executive until such  a time as a successor to Dermot Mannion can be found. The statement fails to give a reason for Mr. Mannion's departure who is quoted as saying that "my decision to step down will allow a new CEO to bring fresh thinking and new ideas to the business."

It is thought however that the investor road show which followed the airline's full year results was particularly badly received by the investment community which was dubious about the ability of the airline's management to conserve cash during the current economic downturn. Following the announcement of Mannion's departure, Aer Lingus shares jumped 7.5%, their largest increase in two months, reducing the stock's 12 month drop to 64%.

Commenting on the departure of Dermot Mannion, Ryanair called on Aer Lingus to appoint David Begg, President of the Irish Congress of Trade Unions (ICTU) as CEO of the airline in recognition of the fact that the unions and Government control the Board and Management of Aer Lingus. David Begg is already a €40,000 pa director of the airline.

In a rough paraphrase of Oscar Wilde, the airline went on to say that " to lose so many Chief Executives is neither an accident nor carelessness but the product of a dysfunctional Board which has prevented the management from running the airline in the interests of it's shareholders...The fact that Aer Lingus CEOs have an average life expectancy of just 18 months is a damning indictment of the Government and Board of the airline."

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