Aer Lingus Continues Strong Performance in First Half

Aer Lingus (“the Company”) today announced its results for the three month and six month periods ended 30 June 2012.

The Company recorded a positive Q2 performance following an encouraging Q1 start to 2012.

The business is seasonally loss making in this half. Aer Lingus nonetheless reports an 83.6% reduction it its operating loss vs. prior year, with operating losses of €4.4m in H1 2012 vs. €26.8m in H1 2011.

The quarterly result was driven primarily by strong revenue performance with yield per passenger up 5.3% while passenger numbers increased by 1.2%.

Total H1 revenue increased by 10.1% compared to prior year.

Operating costs increased by 5.8% vs. H1 2011 largely due to a 29.6% increase in fuel costs and an 8.1% increase in airport charges.

Long haul performance was particularly strong, with H1 passenger volumes and yield up 11% and 9%, respectively, compared to prior year.

Retail revenue increased by 9% in the first half.

Aer Lingus continues to maintain a strong balance sheet with €1,049.9m in gross cash. Christoph Mueller, Aer Lingus’ CEO said: “Aer Lingus has produced a good trading performance in the seasonally weak first half of 2012. The Group’s operating loss of €4.4 million represents a significant improvement over the prior year. These results clearly demonstrate that our strategy of building a leaner and more efficient Aer Lingus is working.

Since 2009, the Aer Lingus staff and management team have delivered significant and successful change to the business. These changes include the re-positioning of our business to serve underlying demand, gains in market share and significant ongoing cost reduction leading to a return to profitability. This turnaround in performance since 2009 along with the payment of our first dividend since the 2006 IPO, demonstrate that Aer Lingus is committed to delivering value. We will continue to focus on improving our operational and financial performance during the key summer travel months of 2012. If current trends continue, Aer Lingus’ operating profit, before net exceptional items, for 2012 will be at least that achieved in 2011 (€49.1 million).

Ryanair indicated its intention to bid for the Group in June and launched a formal offer for Aer Lingus on 17 July 2012. The Board of Aer Lingus has unanimously recommended that shareholders reject Ryanair’s offer by taking no action.”

A more detailed account of the H1 results is available on aerlingus.com

http://corporate.aerlingus.com/investorrelations/