Vol. 524 No. 4
24 Mr. Higgins (Mayo) asked the Minister for Public Enterprise if she has received correspondence from CIE indicating that the company could run out of money early in 2001 and seeking an immediate increase in its annual Government subvention; and if she will make a statement on the matter. [22451/00]
There has been correspondence between CIE and my Department on the company's financial position. The company has indicated that it is encountering a worsening financial position due to large cost increases that cannot be recouped out of revenue growth. The cost increases arise in part due to the ongoing provision of increased levels of service, particularly by the bus companies. The company has also incurred significant revenue losses due to the bus and rail disputes this year and is incurring increased costs as a result of wage settlements. The company's funding requirements are at present being considered as part of the Estimates process.
