Aer Lingus set to snub Stobart Air over new deal
Stobart Air looks set to stop running regional flights for Aer Lingus from 2023 after the Irish carrier suggested it was unlikely to renew its current contract.
Yesterday Aer Lingus told the company that it would not be the preferred supplier for the new commercial arrangement.
It came as it emerged that new carrier Emerald Airlines would challenge for the contract instead.
Irish media reported that the airline, which was set up by Dublin Aerospace boss Conor McCarthy, had already booked the gig.
The decision not to renew Stobart’s deal would be a major blow to the company, which has run the regional routes for a decade.
Chief executive Warwick Brady said that the decision was a “disappointing” one, but would not change the company’s plans to sell the division.
“Whilst a disappointing decision by Aer Lingus, we believe that Stobart Air is a strategic and attractive asset for a potential buyer with number of options open to it in terms of continued operations beyond its current franchise agreement with Aer Lingus”, he said.
“It is well placed to build on eight years of reliable, customer focused connectivity between Ireland and the UK and utilise its European Air Operator Certificate to operate out of Ireland and seek further franchise or independent flying arrangements.”
The airline added that it was in discussions with a number of suitors over the sale of the division, which it expected to complete by the end of the financial year.
Should Stobart Air not be awarded a new commercial agreement , Stobart Group can exercise its right to an early break clause for the lease agreement of eight ATR aircraft in April 2023 at a cost to the Group of $21.2m, it added.