The government has agreed to approve the sale of its stake in Aer Lingus to IAG.
Ministers gave the deal the green light last night after securing extra assurances about the future of its Heathrow slots and jobs at the airline.
It's understood IAG has promised to create over 600 new positions by the year 2020 though 50 jobs will be lost initially.
Aer Lingus will also keep its slots at Heathrow for Irish routes for a guaranteed seven years, up from the original deal of five years.
There's been a commitment to retain the use of Irish flight crews wherever possible, with all employees benefitting from Registered Employment Agreements.
The sale will result in a windfall of 335 million euro for the government which will be used for transport, broadband and other connectivity projects.
But it may mean a collision course with backbenchers who have concerns about the short-term effects in jobs in their own constituencies.
A two day Dáil debate has been called following the announcement.
Deputies will have to vote on the proposed sale tomorrow afternoon but Transport Minister Paschal Donohoe is confident that the deal is in the public interest:
Meanwhile Tourism Ireland says the decision will provide a major boost to tourism here particularly from North America.
CEO Niall Gibbons is welcoming the announcement:
