Virgin Express Ireland ceased trading as a low-cost carrier at Shannon Airport yesterday, although the prospect remains of the company's assets being sold to a British investment group. About 80 remaining employees out of 160 who were based in Shannon finished work yesterday afternoon. About 140 cabin crew, some of whom were based in Gatwick and Brussels, were let go in January. Aer Arann has taken over the call centre operation which employs 20 people.

Mr Yves Panneels, corporate communications manager with the group, said the deadline for a deal with a potential investor passed yesterday and the company was being dissolved. He said there was "a slim chance" of a sale being negotiated.

Mr Martin Hamrogue, chief executive of Virgin Express Ireland, said a British investment group, which he declined to name, believed it would be able to re-launch the company. "Without a lot of money, there is no sense in starting an airline. It has just been a problem for them to get that money in place in time," he said. He said the goodwill and management infrastructure was for sale. Until last week, the company had reduced its fleet to one Boeing 737 which was used for "ad hoc charters", according to Mr Panneels. In December, Virgin Express Holdings, a Brussels-based low-cost carrier quoted on the Nasdaq and controlled by entrepreneur Sir Richard Branson, made the decision to sell or close down the subsidiary. Bases at Gatwick and Berlin were also closed as part of the rationalisation plan to re-focus on Brussels.

Pilots were told yesterday the company was being wound down and were given details of a redundancy package. But Mr Michael Landers, IMPACT's assistant general secretary, has complained to management on behalf of pilots that despite assurances that a generous settlement would be made, minimum statutory redundancy is being paid to 55 pilots. He also stated that management had not engaged in collective consultation.