Activism

Aer Lingus rejects Ryanair EGM call

Aer Lingus has rejected an EGM requisition request from Ryanair, stating that the aim of the meeting request was to “interfere with and frustrate the commercial and operational performance of Ryanair’s most resilient competitor”.

Earlier this month Ryanair made a second call for an EGM at which shareholders would consider asking Aer Lingus’ board and management to maintain four daily flights between Shannon and Heathrow.

Aer Lingus said is has received strong legal advice that the resolution proposed by Ryanair is no different in substance from proposals previously rejected on the grounds that they would result in an infringement of Irish and EU competition law.

John Sharman, Aer Lingus chairman, said: “The board of Aer Lingus will act in accordance with the law and will not dance to the tune of our competitor”.

Ryanair is Aer Lingus’ major shareholder, with a stake of over 29.4%.

October 2007