Ryanair Share Discussion Threads

[cat100] 05/10/2006 12:18

Master stroke .

[poo bear] 05/10/2006 08:30

"RYANAIR ADVISES THAT IT HAS ACQUIRED A 16% STAKE IN AER LINGUS AND ANNOUNCES AN
ALL-CASH OFFER OF Euro2.80 PER SHARE VALUING AER LINGUS AT Euro1.481BN


The board of Ryanair Holdings plc today (5th October 2006) advises that it has
acquired over 16% of the issued share capital of Aer Lingus Group plc. Ryanair
now announces its intention to make an all cash offer of Euro2.80 per share for the
issued share capital of Aer Lingus not already in the ownership of Ryanair. This
offer is conditional on, among other things, obtaining at least a majority of
the shares in Aer Lingus. This cash offer values Aer Lingus at approximately
Euro1.481bn and represents a premium of 27% (approximately) over last week's IPO
share price of Euro2.20 per share and a premium of 12% (approximately) over last
evening's closing price for Aer Lingus shares of Euro2.51.

The share price appreciation since the Aer Lingus IPO occurred during the same
short period in which Ryanair acquired over 16% of Aer Lingus shares at an
average price of Euro2.42 per share. During the 2nd and 3rd of October - the two
days during which Ryanair was not actively buying Aer Lingus shares - the share
price fell back from Euro2.48 to Euro2.41.

Speaking at the launch of the offer this morning, Ryanair's CEO, Michael
O'Leary, said:

"This offer represents a unique opportunity to form one strong airline
group for Ireland and for European consumers. We will expand, enhance
and upgrade the Aer Lingus operations. This offer - if successful -
means both companies will continue to operate separately and compete
vigorously in the small number of routes on which we both operate -
currently around 17 of the approximately 500 routes operated by the two
airlines. We believe the price of Euro2.80 to be an excellent offer. If
accepted the Irish Government will realise over Euro500m from the sale of
their Aer Lingus shares, and the employees will realise over Euro220m which
equates to an average of over Euro60,000 per employee."

The combined strength of Ryanair and Aer Lingus would establish an Irish airline
group with over 50m passengers annually, capable of competing on the European
and World stage against other large European airline groups, including Lufthansa
/SAS/Swiss (75m passengers), Air France/KLM (70m passengers) and BA/Iberia (63m
passengers). As the European airline industry consolidates, this acquisition, if
it proceeds, will largely replicate previous consolidations in, for example,
France (Air France/Brit Air/Regionale/KLM), UK (BA/B.Cal/DanAir/City Express),
Germany (Lufthansa/Eurowings/Lufthansa Cityline/Swiss) and Scandinavia (SAS/
Braethens).

There are benefits of combining these two Irish and European airlines into one
group. To give a flavour of what this offer - if successful - might mean to Aer
Lingus, its stakeholders and the people of Ireland and Europe, Ryanair intends
to:-

*Reduce Aer Lingus' average short haul fare (Euro87.55 in 2005) by 2 1/2% a
year for a minimum period of four years;
*Reduce Aer Lingus' fuel surcharges as the price of oil falls from recent
highs;
*Retain the Aer Lingus brand;
*Retain the Heathrow slots;
*Retain all profitable routes currently operated by Aer Lingus;
*Reduce Aer Lingus' costs through improved efficiencies and Ryanair's
superior purchasing power;
*Give Aer Lingus access to the benefit of Ryanair's lower cost aircraft
deliveries and lower cost financing facilities;
*Upgrade Aer Lingus' transatlantic fleet and improve its long haul
product;
*Maintain Aer Lingus as a stand alone, separate company within one strong
Irish airline group under common ownership but run as separate competing
airlines.

[lyntwyn] 01/10/2006 18:10

Ryanair has announced the introduction of seat back advertising across its entire fleet. The company's Peter Sherrard described the move as offering a high impact advertising medium to a captive audience. Property companies and multinational blue-chip advertisers have already shown interest, but Sherrard denied that an approach had been made by John West sardines. "That's not true" he said "I could take offence at that" !!

-Sunday Times.

[mickconn11] 26/9/2006 21:33

re. hedging.
Basically... they got it wrong.

[weemonkey] 26/9/2006 14:12

they must be expecting the oil price to shoot up again but hedging at $73 when brent is in freefall at $60 seems odd

[weemonkey] 26/9/2006 10:47

have they hedged at the wrong price?

brent crude is much lower than this at the mo - seems odd to me - hedging can be a disaster for the bottom line if you get it wrong

what does everyone elese think?

[lyntwyn] 26/9/2006 08:59

LONDON (AFX) - Low-fare airline Ryanair Holdings PLC said it has hedged its fuel requirements for the period from January to March 2007 at a rate equivalent to 73 usd per barrel of Brent crude.

[d.j. derry] 21/9/2006 20:06

We're heading back to all time high shareprice! Oil coming down,let's hedge for '07.

[billbarton] 21/9/2006 16:46

What a cheek - advertising free seats and then charging £7 for luggage - there and back! This must be the most dishonest Company in the market and I have had many problems with them before - like a 6 hour delay in Stockholm with no Ryanair representatives present and NO compensation for delay or missing onward flight. Do not care what it says in their small print, they are basically out to screw every penny out of every passenger by devious means. Needless to say, I did not book the flights I was about to before knowing about the luggage charge and have finally decided on something which I have promised myself many times - not to use this underhand and sneaky Company again. Good luck to all shareholders but as soon as others can come anywhere near matching the prices I know who will get the business!

[ben nevis] 04/9/2006 18:25

At Ryanair, 4million free seats given away... will this happen to BAY ?

[cat100] 11/8/2006 10:15

Not allowing mobile phones on flights. Ryanair invested in the technology to allow calls to be made mid flight. Kaboom to that plan. Wont make a big difference anyway. 12 more planes for Dublin

[cat100] 11/8/2006 10:15

Not allowing mobile phones on flights. Ryanair invested in the technology to allow calls to be made mid flight. Kaboom to that plan. Wont make a big difference anyway. 12 more planes for Dublin

[Abuse team] 05/5/2006 19:02

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[mickconn11] 05/5/2006 18:51

''fuel issue less of a problem for Ryanair''.

I think it is a massive problem and it will impact them more than any other airline in the world.

With the lowest cost base of any airline excluding fuel their fuel costs increase their cost base a much larger percentage than the rest.

The market hasn't realised this yet despite the recent sell off.

[2441] 02/5/2006 10:33

The fuel issue is less of a problem for Ryanair than for traditional airlines (IMO) as the bulk of RYA passengers rarely book more than a few weeks in advance and going forward the solution for RYA is simply to increase the average ticket price by whatever is necessary. If you break it down to it's nuts and bolts, the average RYA passenger thinks he/she is getting a good deal at say £14.99, they will still consider it a good deal at say £16.99.

The problem many of the traditional airlines have is that many long haul passengers especially book their tickets months in advance - a specific problem not as acute within the RYA business model.

That aside, I'm still a major doubter of the 'low cost' model and cannot see how it pays an airline to carry passengers for the fares quoted by RYA. I appreciate the lowest fares are the headline grabbers, but the average seems very low compared to 'traditional airlines'.

M

[Abuse team] 20/3/2006 17:29

Post removed by ADVFN

[mickconn11] 20/3/2006 17:25

ancillaries.. car hire, scratchcards, sandwiches etc..

dunno if they get any repeat business on the sarnies. Have you tried one flycol.??


Always hard to work out the RNSs.

Have Capital and Wellington decreased or increased their shareholdings.??
Anyone know. Looks like there might be a mistake in the text.

On the 9th March Wellington said they bought some and then said it was a decrease. I'll try and work it out at the weekend.

Either way the big issue is fuel. Hedges run out at the end of the month unless they bought some but I haven't seen any news.

[flycol50] 16/3/2006 13:39

Has anyone noticed that Ryan's profit before tax in the last 1/4 was 49.2m euro and ancillary revenue was 58.9m euro does this mean on purely transporting people they lost money? what in ancillary revenue anyway?

[mickconn11] 03/3/2006 19:14

UBS upgrade to buy from neutral. Improved target price of 9.5 from 8.6.

UBS said Ryan Air is a safer way to get exposure to growth in the low cost market.

[lbo] 16/2/2006 14:14

UBS have downgraded them to Neutral

[holts] 14/2/2006 10:48

and when you are pushing people , sytems, and machines to the limit, it is inevitable.

[holts] 14/2/2006 10:32

this will trundle along until there is a disaster, then the sh.. will hit the fan.

[lbo] 14/2/2006 09:28

Frightening programme! No wonder we call them "RyanScare" in Ireland.

[rob mack] 13/2/2006 21:52

Mick.. They probably seen the TV schedule! Nah.. Never! LOL