Ryanair’s appeal unlikely to succeed
Posted on: September 14th, 2007 by Charlotte FellowsRyanair’s bid to take over the Irish airline Aer Lingus has failed after the European Commission concluded that the takeover would represent a serious move towards monopoly by the airline. The ruling was made in June, however Ryanair is appealing the decision.
The EU Commission told Ryanair that its take over of Aer Lingus would be the most problematic monopoly situation ever examined by the Commission.
In order to reach that decision, the Commission investigated the effects of such a take over on various groups including consumers. Competition, they concluded, would suffer as a result of the take over.
Since Aer Lingus is second largest airline operating out of Dublin Airport after Ryanair, it’s easy to see how the merger would affect the public of Ireland.
Ryanair recently announced that they would be appealing the decision before the Court, however representatives from Aer Lingus are confident that the court’s initial decision will be upheld.
www.ryanair.com