Air Services.

Dáil Éireann Debate, Tuesday - 21 October 2008

Tuesday, 21 October 2008

Questions (218)

Joe Carey

Question:

307 Deputy Joe Carey asked the Minister for Transport if, in view of the 25% share holding the Government holds on behalf of the Irish people in Aer Lingus and the fact that recently published figures indicate that for the first nine months 73,000 more people used the Shannon Heathrow service than the Belfast Heathrow service, he will insist from a financial point of view and in the best economic interests of the State that Aer Lingus as a free market company insist on the best returns possible for its shareholders and reinstate the Shannon Heathrow service; and if he will make a statement on the matter. [35543/08]

Written answers

Minister for Transport (Deputy Noel Dempsey)

Commercial decisions of Aer Lingus are a matter for the Board and management of the Company. Aer Lingus is an independent Company and it has to make decisions on a commercial basis.

The State has given a mandate to its three representatives on the Board of Aer Lingus which requests them to seek to ensure that all future decisions of the company that have significant implications for wider Government, aviation or regional development policies are considered at board level. In any such decisions, the State's representatives on the Board are directed to seek to reconcile commercial and public policy objectives.

This mandate is subject to the overriding obligations of directors pursuant to company law to uphold their fiduciary duties and protect the interests of all shareholders.