AER LINGUS AIRBUS FLEET DEVELOPMENT

Acquisition of 17 Airbus A320-200 aircraft to serve primarily European routes as part of Aer Lingus' fleet renewal programme.

Aer Lingus has responded to changes in the air travel market by converting itself into a lower cost carrier serving primarily European and Transatlantic destinations. The company has developed its European route network, increased load factors and operating efficiency, including electronic ticket sales. This has resulted in a combination of lower fares to users and significantly improved airline profitability.

A key element in cost reduction on shorter haul routes is use of a single aircraft type. The current fleet acquisition programme will leave Aer Lingus with a homogeneous all-Airbus fleet on its European network by the end of 2005, improving operational flexibility and increasing efficiency. Passengers are expected to benefit through higher operating efficiency and lower fares than otherwise.

The fleet replacement project includes phasing out of 17 less fuel-efficient aircraft. The new aircraft fulfil all current and likely future international and EU environmental standards on noise and emissions. Replacement of older aircraft will benefit the environment through energy savings and lower emissions compared to the existing aircraft.

The company selected Airbus aircraft in 2003 following extensive evaluations.

Air transport.