Ryanair 2008 Annual Report Download - page 88

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88
Ryanair also appealed the decision of the European Commission to the European Court of First
Instance, requesting that the Court annul the decision on the basis that Ryanair’s agreement at Brussels
(Charleroi) was consistent with agreements at similar privately owned airports and therefore did not
constitute illegal state aid. The Company has placed 14m in an escrow account pending the outcome of
this appeal.
Ryanair’s appeal was heard by the European Court of First Instance in March 2008 and we are
awaiting a decision in this case.
24 Note to cash flow statements
At March 31,
2008 2007
1000 1000
Net funds at beginning of year.................................................................................. 335,935 294,243
Increase/(decrease) in cash and cash equivalents in year.......................................... 124,430 (92,585)
Movement in financial assets > 3 months ................................................................. (186,500) 263,847
Movement in restricted cash ..................................................................................... 33,623 54,768
Net cash flow from (increase) in debt ....................................................................... (404,429) (184,338)
Movement in net funds resulting from cash flows .................................................... (432,876) 41,692
Net funds at end of year............................................................................................ (96,941) 335,935
Analysed as:
Cash & restricted cash .............................................................................................. 2,169,554 2,198,001
Total borrowings....................................................................................................... (2,266,495) (1,862,066)
Net (debt)/funds (96,941) 335,935
Net funds arise when cash and liquid resources exceed debt.
25 Post balance sheet events
Pursuant to the share buy-back program announced in February 2008, from April 1, 2008 to July 16,
2008, the Company has repurchased 11.9 million shares at a total cost of 133m. This is equivalent to 0.8%
of the issued share capital of the Company at June 30, 2008.
In May 2008 the Group entered into an agreement to dispose of five Boeing 737-800 aircraft at future
dates in the 2009 and 2010 fiscal years.
In June 2008, the Group exercised three options under the 2005 contract with Boeing whereby it will
increase its “firm” aircraft deliveries by this amount during the 2011 fiscal year.
In the first quarter of fiscal 2009 the Group recognised an impairment charge of 193.6m on its
shareholding in Aer Lingus reflecting a further decline in the Aer Lingus share price from March 31, 2008 to
June 30, 2008.
In July 2008, the Group acquired a further shareholding in Aer Lingus plc a cost of 14.2m, bringing
Ryanair’s total holding in Aer Lingus to 29.8%.