AirNav Ireland to pay dividend

AirNav Ireland has confirmed plans to reduce capital by €310m to create distributable reserves for future dividends to the Exchequer.

The amount matches assets transferred from the Irish Aviation Authority during the company’s formation in 2023. The move requires High Court approval with a hearing scheduled for March 13 and involves reclassifying share premium reserves as profit and loss reserves.

The semi-state body faces a shortage of air traffic controllers leading to runway restrictions at Dublin Airport four times in recent weeks and an eight-hour closure at Cork Airport.

Union official Pat Noctor warned of inevitable flight cancellations as the summer schedule begins at the end of March. AirNav stated dividends remain subject to dividend policy, solvency tests and overall corporate strategy.

AirNav spokesman shared in a written statement “It is intended that the company’s capital, in the form of the share premium account, will be reduced by €310m, creating distributable reserves that will enable future dividends to be paid. The High Court is likely to take account of a number of matters, including the purpose of the capital reduction, that there is evidence that AirNav Ireland will remain solvent following the capital reduction, and confirmation that creditors are not disadvantaged following the reduction.”

Pat Noctor shared “We are heading for a summer of chaos. The summer schedule kicks in at the end of March and it grows each month after that.”