CYRIL McINTYRE,
Sir, - In your edition of Monday, August 5th, Mark Hennessy, political reporter, writes as follows: "Already, the Government is prevented from subsidising Bus Éireann on long-distance routes where it faces competition from a private operation, in the wake of a legal action taken by private Galway bus company Nestors".
This statement is completely inaccurate. Bus Éireann has never received subsidy for long-distance routes, as the Expressway inter-urban network is a profitable commercial operation which, in fact, subsidises loss-making routes in cities and rural areas. The State subvention is paid to cover the deficit arising on the operation of city, commuter and rural services which, although socially desirable, are not viable on a commercial basis, and which Bus Éireann is obliged to provide as a consequence of Government policy.
In relation to the legal action referred to, the case taken by Nestor Bus against Bus Éireann and CIE alleging anti-competitive practices was dismissed by consent. This is tantamount to an admission by the plaintiff that there was no substantive case against the two companies and vindicates Bus Éireann's standing as a professional bus operator acting at all times in compliance with relevant legislation. - Yours, etc.,
CYRIL McINTYRE, Manager, Media and PR, Bus Éireann, Dublin 7.