Ryanair chief says European Commission 'hasn't power' to stop Aer Lingus deal |
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Tue, 23 Jan 2007 13:45
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LONDON (AFX) - Ryanair PLC chief executive Michael O'Leary has hit back at claims that the European Commission could prohibit the airline's lapsed bid for rival Aer Lingus, saying the commission 'doesn't have the power' to stop it.If the Commission, which is the European Union's executive arm, decides against Ryanair's bid, some lawyers say it could even go so far as to force it to sell its 25 pct stake.The Commission will decide by May 11 whether to prohibit the deal on competition grounds. However, O'Leary believes this is unlikely to happen.'No, they don't have the power to do it [prohibit the deal] and we don't intend to let them do it,' O'Leary said at a press conference this morning. 'We have no power at Aer Lingus anyway and have had to issue press releases asking them to end their fuel surcharges so that shows how much influence we have there.'Ryanair says it will make a second offer for Ireland's flag-carrier if permitted but the airline may well be forced to sell all its Aer Lingus holdings if the European Commission's decision goes against it.r.jones@thomson.comrj/nesCOPYRIGHTCopyright AFX News Limited 2006. All rights reserved.The copying, republication or redistribution of AFX News Content, including by framing or similar means, is expressly prohibited without the prior written consent of AFX News.AFX News and AFX Financial News Logo are registered trademarks of AFX News Limited
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Ryanair bids €1.481 billion for Aer Lingus 