Irish budget carrier Ryanair has struck out at Aer Lingus, in which it holds a 29.8% stake, criticising its strategy in the wake of its interim results.
The two carriers have shared a tempestuous relationship since Ryanair launched an audacious, but ultimately unsuccessful, takeover bid in October 2006.
Following the release of Aer Lingus' interim results, Ryanair says it is "deeply concerned" that Aer Lingus "appears to be" forecasting a €70 million ($102 million) loss this year which it claims may grow to a loss of over €100 million in 2009.
Acknowledging that its views may be ignored, Ryanair claims that Aer Lingus' controversial Belfast base has "been a financial failure" leading to load factors of around 50%.
It has also struck out at Aer Lingus' cost reduction plan, which it labels as "an abject failure", as well as the airline's executive salary levels. Finally, the vocal budget carrier is petitioning Aer Lingus to scrap its fuel surcharges, which it claims are depressing long-haul loads.
A Ryanair spokesman says: "These half year results from Aer Lingus conclusively support Ryanair's belief that its 2006 takeover strategy for Aer Lingus was the right one."
An Aer Lingus spokeswoman declined to comment, saying that the airline has a policy of not responding to Ryanair's allegations.
Source: Air Transport Intelligence news
