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Article: Aer Lingus announces details of cost reduction plan.
- Article from:
- Airline Industry Information
- Article date:
- October 7, 2009
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AIRLINE INDUSTRY INFORMATION-(C)1997-2009 M2 COMMUNICATIONS
The board of directors of Irish airline Aer Lingus Group plc (LSE:AERL) announced on Wednesday details of its new restructuring plan which the company expects to reduce annual operating costs, excluding fuel, by EUR97m by the end of 2011.
Aer Lingus' Transformation Plan consists of two stages and is comprised of staff cost savings of EUR74m and non-staff cost savings of EUR23m.
Stage One of the plan involves cost reductions in staff and non-staff areas and changes in the Group's pension arrangements. All staff whose basic pay exceeds EUR35,000 per annum will be subject to banded ...