The transport minister has insisted that the government has not yet made a decision on a bid by International Airlines Group (IAG) to take over Aer Lingus.
Paschal Donohoe told the Irish Independent that the coalition is still evaluating what the best decision would be.
Shares in the airline suffered their biggest one day fall in 15 months yesterday, as speculation grew about the outcome of the bid.
It was reported by Bloomberg yesterday that the government was preparing to reject the offer for its 25% stake in the carrier.
IAG has previously said it will guarantee that the airline's slots in London Heathrow Airport will not be sold. The company says it will also guarantee to use those slots for Irish routes for at least five years after any takeover.
It issued a statement after Taoiseach Enda Kenny said he would not consider any sale unless he had a guarantee about the future of the Irish routes to Heathrow. The group is offering "legally-binding commitments".
These include: a guarantee that the Heathrow slots cannot be sold, even to fellow IAG airlines, without the government’s approval; the Aer Lingus company name, head office location and place of incorporation will all remain in the Republic of Ireland, and will need government agreement to move; and to continue operating a service to Ireland from those Heathrow slots for the next five years.
IAG is looking to buy the government stake in Aer Lingus, in a deal worth €1.4bn.
Dara Doyle is the Dublin bureau chief for Bloomberg. He told Newstalk Breakfast the offer seems to be going one way.
Meanwhile, the chairman-designate of the Dublin Airport Authority (DAA) is outlining his plans for the organisation to TDs and Senators this afternoon.
Padraig O'Riordain will explain how he sees the way forward for the DAA - which runs Dublin and Cork airports - as he seeks re-appointment.
He is also likely to face questions about the impact of the potential sale of the government stake in Aer Lingus when he appears before the Dail Transport and Communications Committee.
