Annual Report 1999 in PDF - Aer Lingus

66.971.6The Employee Share Participation Scheme charge in 1999 of e2.6 million compares withe7.2 million in 1998. Following the allocation of the 1998 profit share, the maximum numberof shares available to staff under the Scheme was allocated. The reduction in the charge for1999 arises from the lack of an allocation of shares in respect of 1999 together with thebenefit of an overprovision of e1.1 million included in the 1998 accounts which has now beenreversed.Profit before exceptional items declined by 1.3% to e70.8 million. Net exceptional costs weree11.3 million, compared with a net exceptional gain in 1998 of e4.3 million. The main itemsin 1999 were losses on the exit from our maintenance and ground handling and cargobusinesses of e64.2 million and a charge of e6.0 million in respect of the proposedacceleration of payments from the Employee Share Participation Scheme to partially fund theEmployee Share Ownership Plan proposed as part of the IPO. These were partially offset bygains of e13.1 million on the partial sale of our shareholding in Equant, e10.8 million on thesale of aircraft and e30.2 million arising from a change in the method of estimating andrecognising revenue relating to expired coupons. Other exceptional items gave rise to a netgain of e4.8 million.The tax charge in 1999 was e6.3 million, compared with a charge of e0.8 million in 1998.The tax charge in recent years has benefited from the availability of tax losses, some of whichhave now been fully utilised, thereby resulting in an increase in the tax charge for 1999.The resulting retained profit for the year was e51.9 million, against e74.6 million in 1998.9899Operating Profiton continuing operations(EMillions)Net cash inflow from operating activities rose by 72% to e253.7 million and net cash at31 December 1999 was e162.2 million, up 83% on the 1998 figure. Shareholders’ fundsshowed a 23% improvement to e296.7 million.9