Aer Rianta's directors given no guarantees

The seven directors of Aer Rianta face an uncertain future under the plans to break up the airports company announced by the …

The seven directors of Aer Rianta face an uncertain future under the plans to break up the airports company announced by the Minister for Transport, Mr Brennan, yesterday.

While most of the directors can expect to be appointed to the new designate boards for Dublin, Cork and Shannon, the Minister made it clear that there were no guarantees for any board member, including chairman Mr Noel Hanlon.

Three designate boards are due to be set up under the plan and members of the existing Aer Rianta board will probably chair these new boards, although Mr Brennan is entitled to bring in new personnel if he chooses.

The Minister also has discretion on who becomes chair and Mr Hanlon does not have an automatic entitlement to chair the Dublin board, for instance. He could be appointed a vice-chair instead.

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According to Aer Rianta's 2002 annual report, the current directors are: Mr Hanlon, Mr John Burke, Ms Freda Hayes and Mr Liam Meade. Three worker-directors are also members of the board - Mr Cecil Brett, Mr Peter Dunne and Mr Pat Fitzgerald. An additional two board seats are vacant.

While Mr Hanlon and Mr Burke are likely to retain seats, speculation has centred around the exact position that will be given to Mr Hanlon, a long time opponent of the Minister's plans.

Mr Brennan said the designate boards would also include "individuals of the highest calibre" and they would be appointed mid-week.

Union representatives are also due to be given seats, with existing worker-directors possibly featuring.

Mr Brennan is understood to have several names in mind for the designate boards but was reluctant to approach them before his plans were endorsed by Government.

Some people are believed to have worked on aviation projects before for the Department, while others are believed to have international experience of aviation.

Contact between the Department and Mr Hanlon is likely over the next few days. So far, Mr Hanlon's public reaction to the plans has been muted.

The changes announced yesterday, however, do not affect the management structure at the company - at least not initially. But, in the long term, some managers may have to take up positions with particular airport companies.

The new boards will become the legal entities running the airports once legislation is passed in the Dáil. Mr Brennan has given himself a year to get legislation through the Oireachtas, although a spokesman said last night that if he could cut this timetable he would be happy to do so.

Plans by Aer Rianta to raise fresh capital and develop the Pier D facility are also likely to be delayed by yesterday's announcement. Until the new arrangements are bedded down, the Government is unlikely to give approval to either, say sources.