Cullen predicts bright future for Aer Lingus

Minister for Transport Martin Cullen today forecast that the new chief executive of Aer Lingus can steer the airline away from…

Minister for Transport Martin Cullen today forecast that the new chief executive of Aer Lingus can steer the airline away from the crises of the past towards a brighter future.

Mr Cullen said former Gulf Air executive Dermot Mannion has a proven track record which can help the national carrier grow and prosper.

Aer Lingus came close to bankruptcy in 2003 but a harsh survival plan helped it scoop Airline of the Year in 2005.

Mr Mannion takes up the top post tomorrow - over six months since former CEO Willie Walsh left to join British Airways.

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Mr Cullen said he met with Mr Mannion at the end of July to welcome him into his new role and to discuss current developments.

"Mr Mannion joins Aer Lingus at a critical but exciting time in its development," he said. "I look forward to seeing the impact of his leadership at our national airline."

The Government decided in May to sell a majority stake in Aer Lingus to raise funds for fleet expansion. But the State will keep a significant shareholding to protect its 'key strategic interest' in the national airline.

The long-awaited new terminal at Dublin Airport will be owned by the Dublin Airport Authority who will put its operation out to tender. A secret management memo listing ways to force staff take voluntary redundancy recently caused outrage among staff and unions.

The minister said the three key issues of funding, the appointment of advisors to oversee the part-privatisation and the hiring of a new CEO had now prepared Aer Lingus for future growth.

"Significant progress has been made in recent years in turning Aer Lingus around," he said. "This is due in no small part to the efforts of the board, management and staff of the company."

Mr Cullen said it was now time to move away from the crises and uncertainty of the past which was bad for the airline's staff, the public and the country as a whole. "We can and should now move away from actions to help in a time of crises to actions that secure sustainable growth," he said. "Achieving an appropriate cost base and the operational flexibility to support this growth will be essential."