asked the Minister for Transport and Power if, in regard to a statement by Aer Lingus that Government approval has been given for the purchase of four new BAC One-Eleven short haul jets for delivery in 1965, this order is in addition to the recent jet plane order at a cost of £2½ million; and if he will state the purpose for which these aircraft are required, having regard to a recent statement that Aer Lingus is now in debt and at present working at a loss, and the total cost of all aircraft on order, or approved by the Government for order, to date.
Ceisteanna—Questions. Oral Answers. - Aer Lingus Jet Aircraft Purchases.
6.
The answer to the first part of the question is in the affirmative. The short-haul jet aircraft are required because Aer Lingus find themselves in an increasingly uncompetitive position as almost all their competitors on the Continental routes are operating jets. The European services cover 25 per cent of the traffic excluding the transatlantic services. The total cost of aircraft at present on order for Aer Lingus and Aerlínte, including supporting equipment and development expenses, is about £7½ million, of which £2 million will be provided in the form of equity capital by the Exchequer. The Exchequer contribution will be spread over a number of years starting in 1964-65.
We are closing down the railway stations but keeping the jets going.