Virgin Express (Ireland), the low-cost airline, will not terminate its services at Shannon next Monday, as planned, but will continue its operation to Gatwick, London and Brussels until at least the end of March.

Last month, the company said it had decided on "a possible sale" of the Shannon-based company. It said all scheduled flights to eight European cities would operate from Brussels after January 15th. The company yesterday said the decision to remain until March was taken because of the "high volume of interest shown by numerous investors in Virgin Express Ireland", including, it is believed, Limerick financial interests.

The extension of operations, it was stated, had been requested by potential purchasers to facilitate a smooth transition if negotiations succeeded.

Mr Martin Hamrogue, chief executive of Virgin Express (Ireland), said at Shannon: "We hope, with the support of the new investors, to develop additional services for the west of Ireland." Mr Martin Moroney, general manager of the traffic marketing section of Aer Rianta at Shannon, said: "The announcement by Virgin Express is great news, particularly in the context that the prospects for investment by the new owners are looking bright. This is an extremely important connection for Shannon and Virgin Express has performed excellently since it opened services on this route."