The sale of TEAM to the Danish group FLS, formally concluded this week, represents the end of a long, often painful process for the State airline. Since its establishment a decade ago, the aircraft subsidiary has cost Aer Lingus some £190 million. In other ways, it has also been a quarrelsome sister for the State airline, bringing a rash of industrial relations difficulties and threatening plans to restore the company's financial base.
In retrospect, the plan to establish a third-party aircraft maintenance facility must have seemed like a good idea at the time; indeed some in the airline industry would argue that it was quite a prescient move. But the Gulf War and the subsequent deep recession in the air transport sector undermined TEAM from the outset. And the letter of comfort decision, by which TEAM employees were guaranteed employment with Aer Lingus, deepened the gloom - at a very time when the airline itself was struggling to survive.
The end of a tortuous process has been made possible by a deal which will average £35,000 for each employee transferring from Aer Lingus to FLS. It is by any standards a generous settlement but, in truth, there was probably no alternative. The good news is that, for all its industrial relations difficulties, TEAM has retained a strong international reputation for its craftsmanship. It is to be hoped that the combined strength of TEAM and FLS will allow the new company - TEAM FLS Aerospace Ltd - to secure a fair slice of the aircraft maintenance sector.
For Aer Lingus, the sale of TEAM means that the company has now divested itself of all its various ancillary interests and is free to concentrate on its core business. The Cahill rescue plan, which underlined the importance of selling TEAM, has helped the company to claw its way back from the brink of insolvency. It has been a remarkable turnaround; 1,100 jobs have been shed in the group and substantial annual savings achieved. Today, the company is generating profits of £40 million per year and there is a fresh surge of confidence.
Continued progress will depend on the company's ability to secure the other key element identified by the Cahill plan - a strategic partner. The Aer Lingus board faces the difficult task of identifying which alliance offers the best prospects for long-term growth for Aer Lingus, especially on the critical transatlantic routes. As the company's chief executive, Mr Garry Cullen, has pointed out, Aer Lingus cannot survive and prosper by just marketing its own network.
There are now four sizeable alliances dominating international aviation and Aer Lingus must choose from among them. After a period of great internal retrenchment it appears that the company is poised for better days ahead. With the TEAM difficulties at last resolved, Aer Lingus has the opportunity to develop and expand its business.