Ryanair said today it is to submit a formal complaint to the Irish and London stock exchanges, the Takeover Panel and the Financial Regulator about advice given by Aer Lingus to shareholders in a document on December 22nd.
The airline, which has a 29 per cent stake in Aer Lingus, called on its rival to apologise for 'misleading shareholders and the stock exchange" in the 'December Defence' document in which Aer Lingus said it expected to be profitable in 2008 and 2009.
The move comes after Aer Lingus this morning reported a €119 million pre-tax loss for 2008 today and said it was unlikely to meet its forecast of a profit for this year.
Ryanair called on the company to explain to shareholders "why they continue to preside over an enormous collapse in shareholder value" and why they recommended rejection of Ryanair’s recent €1.40 per share offer for the company.
"Today’s results from Aer Lingus prove conclusively that the chairman Colm Barrington, board and management of Aer Lingus misled shareholders and the Stock Exchange in their Defence Document of just 10 weeks ago. Shareholders are entitled to ask why there is no mention in today’s results about restoring or improving shareholder value," said Ryanair chief executive Michael O'Leary.
"It would appear that the board and management of Aer Lingus care more about lining their own pockets with excessive and unjustified director fees and multi-million euro resignation bonuses for failed management than they do about growing Aer Lingus, delivering profitability or shareholder value, " he added.
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