Aer Arann seeks protection

Irish airline Aer Arann has entered interim examinership following a resolution of its Board of Directors and is now under the protection of the Irish High Court in order to reorganise and restructure the business. Examinership is a provision in Irish company law designed to help companies that have financial difficulties but that also have a reasonable prospect of survival.
The airline says it intends to operate normally during the period of examinership and intends to fly all Aer Arann services and all Aer Lingus Regional services operated under the airline’s franchise agreement with Aer Lingus.
Potential investors and a “number of parties” have expressed their interest in the airline, a press release indicates. The airline’s decision to petition for examinership follows two years of loss-making trading exacerbated by the volcanic ash disruptions earlier this year.
Losses this year are around €13million. The examinership does not involve Aer Arann Islands, which is a separate company.