asked the Minister for Tourism and Transport the present position regarding the B & I Shipping Company; if the £8 million allocated in May, 1987 will be sufficient to enable it continue operations through the tourist season; if not, if further Government funds will be made available; and if he will make a statement on the matter.

The position is that the Government have decided to make available to the B & I additional equity of up to £8 million in the period to end October 1987. I have directed the B & I board to submit to me as soon as possible a plan of action, for implementation in the autumn, to restore the company to viability. I understand that discussions are in progress between management and unions in that regard.

I am satisfied that the B & I will have sufficient resources to continue operations through the tourist season. The question of further Exchequer assistance does not, therefore, arise.

The tourist season would seem to be defined as up to the end of October. What happens after the end of October? Have the Government any further proposals to provide moneys?

The Deputy will be aware of what I said in my reply, namely, that when the £8 million was made available by me on Government decision for the B & I, we asked for a plan of action. I had a meeting with the board of management and with the trade unions and I was very heartened by that meeting, at their commitment to come to an arrangement which would result in the B & I becoming a viable company. That process is in the course of operation at present. I know that the negotiations, meetings and discussions are going on between management and unions as of now and it is my earnest hope that the result will be proposals for a viable company which will deserve well of and benefit this country.

In simple language, is the Minister saying that he told the company: "You have £8 million to keep going until the end of October and if your plan of action is not self-financing after that, then you can paddle your own canoe"?

The Deputy is almost right when he spoke about my plan of action. What I told the House and I repeat now is that the Government made available £8 million to the company and have asked management and unions to come up with proposals by October to have a viable B&I ferry company in place. I want to repeat that that is the process which is under way as of now. I am sure that the Deputy and the House would wish that that process will succeed.

What are the overall losses for B & I for the current year, including the £8 million?

The losses forecast originally, as given in my reply to the House, were £6.8 million for 1986. The losses for 1987 were forecast as much larger than that. My memory is that they were close on £13 million to £14 million.

Does that include the £8 million?

The £8 million is equity. It is an investment in the company.

I should like to know if the £8 million is in addition to the £13 million or £14 million or is it included in the latter figures?

The Deputy asked about losses but the equity is a different matter, as the Deputy will understand. Equity is an investment by the Government in the company.

So the Government subvention for 1987 is at least £21 million or £22 million as of now?

No, I did not say that.

But the losses would be approximately £13 million or £14 million and the Government are putting in another £8 million.

The Government have put in an investment in equity of £8 million. This is £6 million by way of advance payment of next years allocation from the previous Government and an additional £2 million, as the House knows.

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