FlyerTalk Forums - View Single Post - EI - Aer Lingus to operate direct IAD-MAD service from 2010
Old Jan 22, 2009, 2:43 pm
  #4  
eireman
 
Join Date: Nov 2000
Location: dublin,ireland AA ( 3mm)
Posts: 1,825
[QUOTE=irishguy28;11122557]...in codeshare with United, but aircraft and crew will be provided by EI

http://www.google.com/hostednews/ap/...vFwPgD95S9F1O0

United, Aer Lingus boost trans-Atlantic pact

By SHAWN POGATCHNIK – 1 hour ago

DUBLIN, Ireland (AP) — United Airlines and Ireland's Aer Lingus unveiled an agreement Thursday to operate a new joint trans-Atlantic service between Washington, DC and Spain as part of their recent code-sharing deal.

The two airlines said they would launch a shared Washington Dulles-Madrid service beginning in April 2010 and were mulling other possible joint ventures to exploit the year-old "open skies" pact between U.S. and EU aviation authorities.

Since November the two airlines' code-sharing has allowed customers to make linked-up journeys on a single booking within United's American and Aer Lingus' European route networks. Until now, however, the partners had not cooperated in forging any new routes under open skies, which allows airlines to fly from outside their home countries.

United chief executive and chairman Glenn Tilton said in a statement that the success of their code-sharing deal "provides for a deeper commercial relationship with Aer Lingus, and capitalizes on the unique strengths of both our companies."

Aer Lingus chief executive Dermot Mannion told a Dublin press conference he expected cooperation with United to deepen because both sides were benefiting strongly.

Aer Lingus' corporate planning director, Stephen Kavanagh, told The Associated Press that Aer Lingus would provide the crews and aircraft for the Washington-Madrid service — but the bulk of traffic would come from United's U.S. customers. He said the two airlines would split profits and risks equally.

Aer Lingus has never operated a trans-Atlantic service from outside Ireland before. It currently flies from Ireland to New York, Boston, Chicago, Washington and San Francisco, but cut its Los Angeles service last November citing the sky-high cost of fuel.

Kavanagh said Aer Lingus was "actively looking" to expand its own trans-Atlantic services from Ireland once again now that fuel prices have plummeted. He said reviving the Los Angeles route was a leading candidate.

Traditionally, U.S. airlines have favored London's Heathrow for their trans-Atlantic services but increasingly are seeking less crowded, costly and convenient transfer points.

Aer Lingus operates services between Ireland and six major European short-haul hubs: Heathrow, Amsterdam, Frankfurt, Madrid, Paris and Rome. United has other code-sharing partners that operate connecting flights at Madrid.

Thursday's deal comes at a time of unusual uncertainty for Aer Lingus, a formerly state-controlled airline that the Irish government floated on the Irish and British stock exchanges in 2006.

Aer Lingus is embroiled in a renewed takeover battle with Dublin-based rival Ryanair, Europe's No. 1 no-frills carrier, which is already Aer Lingus' biggest shareholder with a 30 percent stake. Ryanair's latest bid, launched last month and due to expire Feb. 13, values Aer Lingus at euro750 million ($975 million) or euro1.40 a share.

Aer Lingus shares were trading 0.8 percent lower Thursday at euro1.37 on the Irish Stock Exchange. This reflected investors' widespread view that the Ryanair bid will fail at that price, because it has attracted virtually no interest from other shareholders.

Earlier Thursday, Ryanair chief executive Michael O'Leary told a Dublin press conference he didn't plan to raise the euro1.40 price on offer and insisted it would be the best that Aer Lingus could hope to get. He forecast that Aer Lingus shares would plunge back below euro1 if Ryanair's overture was spurned.

Irish crews- well most likely the Pilots, but the FA are going to bear nothing resembling an Irish complexion- sad!

Last edited by eireman; Jan 22, 2009 at 3:21 pm
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