Two directors of Aer Rianta have written to the Minister for Transport, Mr Brennan, telling him they will implement Government policy, but do not want to step down from their positions on the board at this time.
The two directors - Ms Freda Hayes and Mr Liam Meade - sent letters to the Minister yesterday setting out their position, following a meeting with him last Thursday.
However, it is understood the letters from Mr Meade and Ms Hayes make it clear they are both prepared to implement Government policy. Ms Hayes is chief executive of Blarney Woollen Mills Group, while Mr Meade is vice-president, marketing, with Shannon Engine Support. The chairman Mr Noel Hanlon has also given a similar commitment.
The Minister needs at least some of the existing directors to step down in order to facilitate a restructuring. He is only allowed to fill nine positions on the main board and with managing director Mr John Burke an automatic selection, and three worker directors likely to remain, the number of available positions for new members is small, particularly if other existing directors are reluctant to step aside at this time.
While some of the current directors are expected to feature on the new boards for Cork and Shannon, Mr Brennan is anxious to appoint many new individuals to the main board as soon as possible.
The position of Mr Hanlon also poses challenges for the Minister. A long-standing opponent of the break-up plans, Mr Hanlon has shown no sign of stepping aside. According to some sources, the chairman would resist any attempt to remove him, possibly via a legal action. The chairman believes he has made a valuable contribution to the airports company in recent years and that stepping down would be grossly unfair.
Mr Brennan hopes to name the new members of the board later this week but, according to sources, some of these people may be reluctant to serve while differences between Mr Brennan and the chairman remain.
Meanwhile, Fine Gael, holding meetings in Brussels, said the Minister had not passed details of his plan to the European Commissioner for Transport, Ms Loyola de Palacio.
A Fine Gael delegation led by leader Mr Enda Kenny, met Ms Palacio on the Aer Rianta break- up and the position of Shannon Airport in the future.
"The Commissioner informed me that she has not yet received any details of the Government's proposed break-up of Aer Rianta. Consequently, the Commission has not yet determined whether the proposed transfer of debt from Shannon and Cork airports to Dublin is in compliance with EU state aid and competition rules. However, she also stated that if the proposals were found to be contrary to state aid rules, then a serious problem could arise."
In relation to Shannon, Mr Kenny claimed that Ms Palacio was open to special arrangements being made for the airport, once they were "transparent and non-discriminatory".
