IRELAND'S OTHER LOW-FARE AIRLINE : AER LINGUS HAS REBUILT ITSELF INTO A DIFFERENT KIND OF COMPETITOR UNDER NEW CEO WILLIE WALSH

Taking the helm of Aer Lingus Airlines in October 2001, Willie Walsh had the unenviable job of saving a business in a financial crisis so deep that, if the airline's spending habits continued, bankruptcy would be inevitable by that January. And saving it, no less, in the weeks directly following the Sept. 11 terrorist attacks. Walsh's strategy involved radical cost-cutting for the airline. Targeting an annual cost reduction of 16 percent, or 190 million pounds, Aer Lingus eliminated over 2,000 positions across all disciplines, enacted a wage freeze, removed several aircraft from service, and slashed prices on transatlantic routes. The airline's radical penny-pinching policy worked; last year, it netted 16.8 million in profits, reversing a loss of 149.7 million in 2001. Aer Lingus has a goal of exceeding an 8 percent margin in 2003 and aims to reach 15 percent within the next three years.

• Availability:
  • Find a library where document is available. Order URL: http://worldcat.org/issn/00022543
• Supplemental Notes:
  • Page range: pp 30-31, 34
• Corporate Authors:

  Penton Media

  1300 E 9th Street
  Cleveland, OH  United States  44114-1503
• Authors:
  • Buyck, C
• Publication Date: 2003-8

Language

• English

Media Info

• Features: Photos; Tables;
• Pagination: 3 p.
• Serial:
  • ATW: Air Transport World
  • Volume: 40
  • Issue Number: 8
  • Publisher: Penton Media
  • ISSN: 0002-2543

Subject/Index Terms

• TRT Terms: Airlines; Cost control; Management; Operating revenues; Profitability
• Geographic Terms: Ireland
• Subject Areas: Administration and Management; Aviation;

Filing Info

• Accession Number: 00962294
• Record Type: Publication
• Source Agency: UC Berkeley Transportation Library
• Files: BTRIS, TRIS
• Created Date: Sep 2 2003 12:00AM