Dáil Éireann - Volume 444 - 29 June, 1994

Written Answers. - State Investment in Aer Lingus.

Mr. Killeen Mr. Killeen

163. Mr. Killeen asked the Minister for Transport, Energy and Communications if he has satisfied himself that the State's capital injection of £175 million in Aer Lingus is being prudently used.

Minister for Transport, Energy and Communications (Mr. Cowen) Brian Cowen

Minister for Transport, Energy and Communications (Mr. Cowen): The Government decision approving the £175 million equity investment in Aer Lingus provided that the equity would be paid in three tranches — £75 million in 1993, £50 million in 1994 and £50 million in 1995. I am satisfied that the first tranche of £75 million paid in 1993 is being expended as envisaged.

1330

The Government decision also provided that the timing of the tranches is subject, inter alia, to satisfactory evidence that the necessary cost cutting [1330] measures are being implemented in full. Further, the European Commission approval for the investment specifically provides that the second and third tranches cannot be paid unless there is an independent verification that the cost reductions are implemented in full.

Dáil Éireann 444 Written Answers. State Investment in Aer Lingus.

Questions

19940629