Virgin Atlantic will face “searching questions” when it brings its concerns about the possible sale of the State’s shareholding in Aer Lingus to the Dáil transport committee on Thursday.
Virgin Atlantic Airways (VAA), controlled by businessman Richard Branson, is a direct competitor of British Airways (BA), the biggest carrier in International Airlines Group (AIG), which is bidding for the Government's Aer Lingus stake.
Committee chairman John O’Mahony of Fine Gael said he welcomed the chance to hear from the company which is raising concerns about the proposed sale with the European Commission’s competition authority.
“I will be asking searching questions. There would be an interpretation of this that the concern for Irish connectivity is to be welcomed but I presume the upper-most concern of any airline is for their shareholders,” he said.
Virgin Atlantic’s Joe Thompson, director of network and alliances, wrote to the committee recently seeking to engage directly with members. He was subsequently invited to appear before the committee at 10.30am on Thursday.
Mr O’Mahony’s said: “The potential sale of Aer Lingus has shown itself to be an issue of national importance and as such, the committee will continue to do all it can to facilitate an open debate of the issues surrounding a sale.”
His comments echo those of Minister for Transport Paschal Donohoe who recently said "everyone from Richard Branson to Donald Trump" had expressed a view on the possible sale.
Those commenting were “reflecting their own commercial interests”, he added.
Mr Thompson is expected to describe Aer Lingus as an important partner to a number of airlines operating out of the UK on long haul routes, including Virgin Atlantic.
He will also query how, in the event of a sale, “consumers would be protected from a lack of competition” and question the impact on the price of airline tickets and connectivity.
The committee will give IAG an opportunity to respond to any issues raised by Mr Thompson.
IAG chief executive Willie Walsh has argued Virgin Atlantic has no interest in the Irish market, despite its intervention in the debate over his company's €1.36 billion bid for Aer Lingus.
