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Government to attend takeover talks

Aer Lingus - Attempt to block Ryanair
Aer Lingus - Attempt to block Ryanair

The Government is to open talks next week with the European Commission in an attempt to block Ryanair's takeover bid for Aer Lingus.

The Government will argue that a takeover would breach EU competition law and would limit passenger choice on routes between Ireland and the UK.

The talks will be held between Department of Transport officials and members of the EU Commission in Brussels.

Speaking at a meeting of Transport Ministers in Luxembourg, the Minister for Transport, Martin Cullen, defended the Government's handling of the flotation of Aer Lingus.

Responding to criticisms that the Government had sold off 7% of Aer Lingus shares shortly after the flotation, Mr Cullen said the Government had always maintained it would keep a 25.1% stake in the airline.

Mr Cullen also denied that the share price of €2.20 at the time of the sale was too low.