The board of Aer Lingus has told the Minister for Transport, Noel Dempsey, that it unanimously rejects Ryanair's offer for the airline, describing it as "a patehtic sum" and saying it would give Ryanair a monopoly.
Chairman Colm Barrington and chief executive Dermot Mannion met with Mr Dempsey today to discuss Ryanair's announcement that it would make an unsolicited offer to shareholders.
They told the minister the takeover would allow Ryanair to establish a monopoly on air travel and connectivity to and from Ireland, and said there were "significant shortcomings" in Ryanair's proposals. The airline's board is planning to detail these shortcomings to shareholders in its response circular.
The Aer Lingus executives claimed the offer was an effort to eliminate competition in the Irish market place, which it said would be "a disaster" for the Government and unacceptable to consumers and the EU Commission.
Mr Mannion said the meeting with Mr Dempsey was "productive".
"Ryanair cannot spin away the fact that Aer Lingus is and will continue to be its fiercest competitor into and out of Ireland. It is offering other Aer Lingus shareholders a mere €525 million, a pathetic sum in the context of the €1.3 billion in cash on the group's balance sheet, the substantial value of our fleet and the value of the Heathrow slots," he said.
"Despite all of Ryanair's insincere promises, this offer, if accepted, would be bad for Irish consumers, for Aer Lingus' shareholders and for everyone who works in the airline."