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Annual Report 2011 31
DIRECTORS’ REPORT Aer Lingus Group Plc
Introduction
The Directors present their report to shareholders, together with the
financial statements of Aer Lingus Group plc and the Auditors’ report
thereon, for the year ended 31 December 2011.
Principal activities and future developments
The principal activities during the year continued to be the provision of
air travel services. The Chairman’s Statement and Chief Executive
Officer’s Review on pages 2 to 6 reports on developments during the
year, on the state of affairs at 31 December 2011, on events since 31
December 2011, and on likely future developments. Further
information with respect to the review of the business and future
developments is contained in the Operating and Financial Review on
pages 7 to 17. The financial statements for the year ended 31
December 2011 are set out in details on pages 55 to 115.
Information on the key performance indicators applicable to the Group
are detailed in the Financial Highlights on page 1, the Chairman’s
Statement on pages 2 to 4, the Chief Executive Officer’s Review on
pages 5 to 6 and in the Operating and Financial Review on pages 7 to
17.
Results for the year and state of affairs as at
31 December 2011
The consolidated income statement for the year ended 31 December
2011 and the consolidated statement of financial position at that date
are set out on pages 55 and 57 respectively. The profit for the year
after tax amounted to ¤71.2 million (2010: profit of ¤43 million).
The movement on consolidated retained earnings for the year is as
follows:
¤m
Balance as at 31 December 2010 (139.1)
Comprehensive income for the year
taken to retained earnings 66.3
Balance as at 31 December 2011 (72.8)
Total equity increased by ¤34.3 million during the year as a result of
the comprehensive income taken to retained earnings for the year of
¤66.3 million and a net decrease in other reserves (principally the cash
flow hedging reserve) of ¤32.0 million. A detailed reconciliation of the
movement is provided in the Consolidated Statement of Changes in
Equity on page 59. No further transfers to or from reserves are
proposed by Directors.
Substantial interests in share capital
As at 23 March 2012, the Directors are aware of the following
substantial interest in the share capital of the company which represent
more than 3% of the issued share capital.
Name Shares held % of issued
share capital
Ryanair Limited 159,231,025 29.82%
Minister for Finance of Ireland 134,109,026 25.11%
Denis O’ Brien 20,308,822 3.8%
As far as the company is aware, other than stated above, no other
person or company has an interest of more than 3% in the share
capital of the company.
Accounting policies
The Group accounts are prepared under International Financial
Reporting Standards as adopted by the EU. The principal accounting
policies, together with the basis of preparation of the accounts are set
out on pages 63 to 77.
Dividends
The Directors do not propose the payment of dividends in respect of
the year ended 31 December 2011.
Principal risks and uncertainties
Information on the principal risks and uncertainties facing the Group
are detailed on pages 18 to 23. The Financial Risk Management
policies in place to address these are set out in Note 3 to the
consolidated financial statements.
Directors and Secretary
The names of the current Directors appear on pages 24 to 25. The
Directors who served during the year are listed in the table below:
DIRECTORS’ REPORT
Year ended 31 December 2011