Ryanair announce cash (1.30 per share) takeover offer for Aer Lingus

coylemj

Just announced on RTE Drivetime.

flanzer

coylemj wrote: »

Just announced on RTE Drivetime.

Taking this bid with a mountain of salt. Can't see anyone bidding with the pension problems, particularly not Ryanair. Maybe they suspect a bid from the middle east and are setting their stalls out early.

Then there's the EU competitions authority investigation.

This just smells of Ryanair playing games

my friend

BA and Iberia

Air France and KLM

only dumb politicians can stop Ryanair and Aer Lingus

EU cannot hide behind the same ol excuses anymore, in fact RY should sue them....

Stinicker

Millions of Euro of free advertising? It would be a cold day in hell before I'd ever allow MOL to take control of Aer Lingus, surely there has to be some anti-competitive legislation in place to stop them from succeeding in destroying Aer Lingus.

Chucken

http://www.irishexaminer.com/breakingnews/business/ryanair-makes-694m-cash-offer-for-aer-lingus-555939.html

http://www.thelawyer.com/oft-refers-ryanair-stake-to-the-competition-commission/1012999.article

Hannibal

They could be forced to sell their existing share soon by competition authoritys, so by announcing this new bid they're driving up the share price if they're forced to sell.

Bearcat

Smoke and mirrors stuff that we will never be party to. MO'L maybe playing a game of high brinkmanship snuffing a potential bidder out of the long grass.

Interesting times again.

I hope this doesn't happen, I absolutely despise Ryanair and Michael O'Leary.

cgarrad

Please times a thousand let this happen.

€10 to New York here we come.

Flown twice with AL recently. Both times were awful. Hope he guts them to the core

Milan Cobian

cgarrad, you're understanding of fundamental economics seems a bit limited. Come back again when it's improved. I particularly suggest you study the relationship between supply, demand and pricing elasticity.

KCAccidental

cgarrad wrote: »

Please times a thousand let this happen.

€10 to New York here we come.

Flown twice with AL recently. Both times were awful. Hope he guts them to the core

With BMI being subsumed into BA I wonder how much longer they will do the the Dublin-Heathrow route?

if Ryanair were to buy AL we'd be left with one carrier monopolizing our busiest routes.

just like the good old days


In reality, I'd imagine this is MOL setting his stall out for getting maximum value for Ryanair shares in AL when Etihad or someone else come in and buy them out.

coylemj

cgarrad wrote: »

Please times a thousand let this happen.

€10 to New York here we come.

Yes, that will probably be Buffalo New York (300 miles from Manhattan) and the additional charges will ramp it up to €300.

As a point to point airline, Ryanair's first step will be to sell off the Heathrow slots and then we'll have to fly to Schipol or Dubai to make connections to the rest of the world.

No airport on the east coast with a runway long enough to handle transatlantic traffic will put up with the crap that MOL gets away with in Europe.

cgarrad

Milan Cobian wrote: »

cgarrad, you're understanding of fundamental economics seems a bit limited. Come back again when it's improved. I particularly suggest you study the relationship between supply, demand and pricing elasticity.

Air Baltic
Air Canada
Air France
Air Transat
American Airlines
Blue Air
bmi
CityJet
Delta
Emirates
Etihad Airways
Flybe
Germanwings
Iberia
Lufthansa
Norwegian Airlines
Ryanair
S7
SAS
SATA
Swiss Airlines
Turkish Airlines
United
US Airways

All service Dublin.

Ryanair have a monopoly on several routes from Dublin but the fares are similar.

zone 1

So if Ryanair did buy Aerlingus who is the other airline going to be to rival them both. will prices be like they were when AL were the Major airline in Ireland.

cgarrad

coylemj wrote: »

Yes, that will probably be Buffalo New York (300 miles from Manhattan) and the additional charges will ramp it up to €300.

As a point to point airline, Ryanair's first step will be to sell off the Heathrow slots and then we'll have to fly to Schipol or Dubai to make connections to the rest of the world.

No airport on the east coast with a runway long enough to handle transatlantic traffic will put up with the crap that MOL gets away with in Europe.

Yawn, any facts to back that up??

KCAccidental

cgarrad wrote: »

Air Baltic
Air Canada
Air France
Air Transat
American Airlines
Blue Air
bmi
CityJet
Delta
Emirates
Etihad Airways
Flybe
Germanwings
Iberia
Lufthansa
Norwegian Airlines
Ryanair
S7
SAS
SATA
Swiss Airlines
Turkish Airlines
United
US Airways

All service Dublin.

Ryanair have a monopoly on several routes from Dublin but the fares are similar.

only bmi and ryanair serve the main london airports from Dublin in that list. These are the important, heavily used routes. Heathrow remains an important hub for international travel from Dublin and other Irish airports. Competition is extremely important to keep the prices down.

If Ryanair buy out AL then the slots at Heathrow will most likely be sold leaving Dublin with one carrier (possibly, depends on BA) being able to dictate prices on customers who have little or no other choice.

its just bad news all round.

coylemj

cgarrad wrote: »

Yawn, any facts to back that up??

Can you supply 'facts' to back up your prediction of a €10 Ryanair fare to New York?

Yawn away, you're speculating just like the rest of us.

Drop the snooty attitude.

cgarrad

http://www.rte.ie/news/2007/0412/ryanair.html

Not snooty, just bored with the usual tripe about Ryanair being rehashed...

kona

cgarrad wrote: »

Please times a thousand let this happen.

€10 to New York here we come.

Flown twice with AL recently. Both times were awful. Hope he guts them to the core

lol :pac: you mustnt fly much.

Terrontress

As well as the Heathrow slots, would FR be interested in the value of EI's ETOPS certification? I don't see why transatlantic air travel should only come from FRA, CDG, LHR and if there is anyone to deliver transatlantic travel to and from regional airports, it's Ryanair.

cgarrad

kona wrote: »

lol :pac: you mustnt fly much.

Unfortunately I do

cgarrad

Terrontress wrote: »

As well as the Heathrow slots, would FR be interested in the value of EI's ETOPS certification? I don't see why transatlantic air travel should only come from FRA, CDG, LHR and if there is anyone to deliver transatlantic travel to and from regional airports, it's Ryanair.

Hopefully, Europe is done and dusted for them now, its only continuing rolling out the established format. If only he could get a few A380's.

kona

cgarrad wrote: »

Hopefully, Europe is done and dusted for them now, its only continuing rolling out the established format. If only he could get a few A380's.

Hed be doing well to get a fully loaded A380 out of some of the places he flies out of.

Xpro

At the minute Ryanair is the most profitable airline in Europe. They have the funds, they already own 30% of the shares, so its not all talk. Goverment wants out, so cards are on the table.
I would hate to see Aerlingus becoming a tight airline like Ryanair, i like them alot, and i flew many many times with them and it was always a pleasant experience.
But then again, if Ryanair could maintain Aerlingus the way they are,but improve them, improve the fleet,get more jobs,etc,etc i would like to see that move.

Stimpyone

Christ I hope this is just more BS from MOL. I travel out of DUB at least once a week to various parts of Europe and I detest traveling with Ryan Air.

I would gladly fly to Heathrow and drive to an appointment in Cambridge rather than fly to Stansted with FR.

wonkus

Nobody wants FR to buy EI but who else would buy it and what would they do with it!!?

FR in my opinion is the best option, personally I would give EI to O'Leary!

Plowman

This post has been deleted.

cgarrad

kona wrote: »

Hed be doing well to get a fully loaded A380 out of some of the places he flies out of.

For their new transatlantic routes....

vicwatson

I couldn't sit for 7, 8, 11 hours to the USA in one of those canary yellow cramped interiors, hard enough to do it from Dublin to Stansted.

Imagine the claims from relatives over DVT (deep vein thrombosis) cases :eek::eek:

Never mind the ignoramus staff.

lintdrummer

It's important to remember that Ryanair's current shareholdings in Aer Lingus are already under investigation by the Competition Commission in the UK so a further acquisition is highly unlikely.
Also, lol at the link to a 5 year old article about MOL's plans for a transatlantic sister airline offering €10 flights. I find it hard to believe that there are people out there who still don't understand how the man operates.

cgarrad

vicwatson wrote: »

I couldn't sit for 7, 8, 11 hours to the USA in one of those canary yellow cramped interiors, hard enough to do it from Dublin to Stansted.

Imagine the claims from relatives over DVT (deep vein thrombosis) cases :eek::eek:

Never mind the ignoramus staff.

Ryanair and Aer Lingus have the same seat pitch, 30"

vicwatson

cgarrad wrote: »

Ryanair and Aer Lingus have the same seat pitch, 30"

Yes but you can get up and walk around an AL plane on long haul, imagine trying to do that with Ryanair and their sales trollies, you'd be stuck in that seat for the duration of the flight, bring a colostomy bag with you.

Oh, and AL don't have canary yellow interiors that give you a headache.

MuffinsDa

cgarrad wrote: »

Ryanair and Aer Lingus have the same seat pitch, 30"

Nope. EI has 31" seat pitch on A330.
http://www.seatguru.com/airlines/Aer_Lingus/Aer_Lingus_Airbus_A330-300.php

cgarrad

lintdrummer wrote: »

I find it hard to believe that there are people out there who still don't understand how the man operates.

Opened air travel to one and all, keeps cutting costs even though worlds biggest airline, newest fleet, great safety, quickest load-unload, cheapest premium seats, least bags lost, most punctual, best looking staff ;-)

Need I go on.

Die AL you dinosaur ;-D

Hopefully he will take the DAA to the cleaners as well.

kona

cgarrad wrote: »

For their new transatlantic routes....

You think hell fly you into JFK for a tenner??

cgarrad

MuffinsDa wrote: »

Nope. EI has 31" seat pitch on A330.
http://www.seatguru.com/airlines/Aer_Lingus/Aer_Lingus_Airbus_A330-300.php

Yes but Ryanair don't have a comparable longhaul aircraft. On the A320 its the same as the 737

coylemj

Didn't some airline try doing transatlantic on the cheap a few years ago? I recall a few hundred people being stranded in an airport on the east coast while the airline tried to source a part for the (broken down) plane. I think they were flying from Glasgow via Knock to the US and back but that incident did them in as far as the travelling public was concerned, classic case of false economy.

I do not believe you can replicate the Ryanair model on the Atlantic routes. For starters the flight duration probably means that they will be obliged to provide 'free' food and how many times can you roll a trolley up and down the aisle selling scratch cards on a seven hour flight?

Milan Cobian

cgarrad, keep studying. AL and ryanair have about 80% of DuB traffic. Lists of other airlines doesn't change the fact that their traffic levels are negligible. When you're finished that lesson, then try and work out the economics of flying across the pond with E10 fares. When you figure out how to make a plane load of 10 quid seats profitable, you can then tell us where to find the tooth fairy.

cgarrad

kona wrote: »

You think hell fly you into JFK for a tenner??

Since he has already flown me several places for 0.01c I do think he will.

Tefral

Hope this doesnt come through...

I work in Heathrow and fly with Aerlingus every Friday to Dub to my Fiancée and Monday back to Heathrow to work.

If the price of the flights goes up anymore, it will make it very difficult to get home.

The amount of people i see every week that are commuting like me via Aerlingus is unreal, i know most of the plane to see at this stage.

cgarrad

Milan Cobian wrote: »

cgarrad, keep studying. AL and ryanair have about 80% of DuB traffic. Lists of other airlines doesn't change the fact that their traffic levels are negligible. When you're finished that lesson, then try and work out the economics of flying across the pond with E10 fares. When you figure out how to make a plane load of 10 quid seats profitable, you can then tell us where to find the tooth fairy.

The same way he makes "pay taxes and charges only" flights available.

Not everybody pays €10

kona

cgarrad wrote: »

Since he has already flown me several places for 0.01c I do think he will.

Do you understand the sheer costs involved in operating a long haul aircraft?

This myth that Ryanair operate 1c flights is bollix, go book a flight when you actually want to fly and see how much it costs. Aer Lingus offer a better product in all the cases ive looked, cheaper.

MoL is a ruthless businessman, he would do to EI what SRT did to Team.

MuffinsDa

cgarrad wrote: »

Yes but Ryanair don't have a comparable longhaul aircraft. On the A320 its the same as the 737

Yes but the original comment was about spending 5-6-7 hours in those seats.
EI doesn't fly A320 on those routes so that's the applicable seat pitch for the given concern.

kona

whats the pitch on the 757s??

LeftBase

cgarrad wrote: »

Since he has already flown me several places for 0.01c I do think he will.

I think you need to read up on aviation strategy;)

finchkerry

cronin_j wrote: »

Hope this doesnt come through...

I work in Heathrow and fly with Aerlingus every Friday to Dub to my Fiancée and Monday back to Heathrow to work.

If the price of the flights goes up anymore, it will make it very difficult to get home.

The amount of people i see every week that are commuting like me via Aerlingus is unreal, i know most of the plane to see at this stage.

More or less in the same boat as you although I would not fly like that every week. Can I ask how much in general do the flights cost you? It must be a small fortune going out of London friday evening, the flights back to London can sometimes work out ok. On top of that 5 nights rent, one wonder this may become difficult for you, I feel for you there.

In order to keep competition I would not favour a buy out. I know it was different circumstances but remember Ryanair dropping a fair few flights from Shannon two weeks after easyjet left the airport. Surely we do not want to be in a situation like that if there was a takeover. Competition is good or the consumer, end of story.

cgarrad

LeftBase wrote: »

I think you need to read up on aviation strategy;)

Think you need to read up on Ryanair's aviation strategy ;-)

Tefral

finchkerry wrote: »

More or less in the same boat as you although I would not fly like that every week. Can I ask how much in general do the flights cost you? It must be a small fortune going out of London friday evening, the flights back to London can sometimes work out ok. On top of that 5 nights rent, one wonder this may become difficult for you, I feel for you there.

In order to keep competition I would not favour a buy out. I know it was different circumstances but remember Ryanair dropping a fair few flights from Shannon two weeks after easyjet left the airport. Surely we do not want to be in a situation like that if there was a takeover. Competition is good or the consumer, end of story.

I usually book them 2 months in advance, last flight cost me 89 pounds return. Most expensive ive paid is 120 pounds. I have a mixture between BA(BMI) and Aerlingus, whichever is cheaper.. Plus if i want to check a bag its normally BMI that work out cheaper as its included, and my visa debit doesnt incur the 6 pound aerlingus credit card fee.

The Little Fella

The pandering and sneering in this thread is a bit childish. The snobbery of some towards ryanair is also going a bit too far. Why can't we Irish be proud of them being one of the biggest airlines in the world instead of trying to knock them at every opportunity.

LeftBase

cgarrad wrote: »

Think you need to read up on Ryanair's aviation strategy ;-)

Fly to the smallest grass strips they can find. That's a large part of it. MOL wont go near JFK as the cost of operating there is far too high for his model. LaGuardia, Buffalo or Albany are more realistic options for him.

If he flew to JFK on the same ratio of fare he charges in Europe he'd be be broke pretty soon.

lintdrummer

cgarrad wrote: »

Opened air travel to one and all, keeps cutting costs even though worlds biggest airline, newest fleet, great safety, quickest load-unload, cheapest premium seats, least bags lost, most punctual, best looking staff ;-)

Need I go on.

Die AL you dinosaur ;-D

Hopefully he will take the DAA to the cleaners as well.

Now that I know you're trolling this will be my last response to you. Ryanair provide a service, it's cheap and it gets you from A to somewhere in the vicinity of B. I've no problem with their service and I'd have no problem, and have had no problem flying with them if that's what I wanted.

What I don't like about Ryanair is how they've undermined the industry in terms of lowering the wages and conditions of the professionals that make their operation possible. They are not a good company to work for and if the whole industry ended up operating like they do it would suffer greatly. It's great that you can fly abroad now for the price of a train journey but it's not a right. If that's what you want by all means have it but don't insist that it's the only model that works.

What Aer Lingus offer is different. They cater to a different kind of customer. The operation they have is working just fine without a take over from MOL.

You're just another "jump on the ryanair bandwagon and bash Aer Lingus" type who has nothing constructive to add to the conversation.

And I'd take everything O'Leary says with a large box of salt because Ryanair are not the biggest airline in the world no matter what way you measure it. WIKI