Mr President, this report evolved from the need to look at insurance cover for aircraft carriers after the atrocities that took place in New York on 11 September. It seems a long time ago, but it still remains in our memories. We had to try to achieve a level playing field between European airlines and the airlines of the United States, which then received even greater support than our airlines. We also have to keep the necessary balance between the rights of travellers, their security and, above all, the safety of air travel against these new terrorist challenges that threaten everyone in Europe, and indeed in the greater world. We have come a long way towards achieving this. After the first reading, the Council accepted 16 of the committee's 26 amendments, which included the provision that the depositing of proof of insurance in one Member State should suffice for all Member States. It also accepted the definition of a passenger. State aircraft have been exempted. The application of global amounts in accordance with commercial practice has also been accepted as have, in a range of other areas, the inclusion of local flights, measures to be taken when aircraft land without adequate insurance cover, and withdrawal of operating licence if the insurance cover is not sufficient. But there still remain areas of difference between us. The Council did not share our view on how to regulate for overfliers. Nor did it agree with Parliament's view on the need for a harmonised inspection regime. Members will recall my concern on how our proposals would affect the small aircraft operators and how we could resolve that, as also those involved in leisure flying, be it in gliders, hang-gliders or microlights. I believe it would be totally wrong to penalise any of these areas. That is why I held out for a fair deal for them. For all our aircraft in the middle to large categories we are now in basic agreement. To safeguard the leisure flyer, in respect of gliders and microlights, I have asked my Group to put forward an amendment. I have agreed with the Council and the Commission – and I hope other colleagues will be able to agree with this as well – on what I believe is the best consensus available. There are those who have said to me that this still does not go far enough, but I think we have the best consensus available to us at this moment in time. It allows those involved in flying for pleasure to be exempt from insurance cover for war and terrorism. Microlights have small engines, air stall speeds as low as 35 knots and limited weight. I believe the amendment covers an adequate compromise. If the Council and Commission agree, I will withdraw my amendment and there will be no need for a third reading of this particular report. We can then go forward into the future. I would add one word of caution. This is an area of legislation that can change rapidly. We should return to and revise this directive within three to four years, in the light of whatever changes may take place. We must see and analyse the effects of this directive. The truth is that the major players in the aircraft industry have been totally unconcerned, it has not affected them. But it is the small, the vulnerable and the hobby flyer who could suffer most. I would like to thank the Commission and the Council for their extremely positive cooperation. I would like to thank the Irish presidency because it was, as stated in Mr Clegg's report, positive in ensuring we came to a final conclusion. Without that we would not have had this result, which I trust will bring forward a directive that will work. I thank my shadow rapporteurs for their cooperation, which has enabled us to get to this stage, and also my committee colleagues for their cooperation. For me this has been something of an exercise in bringing a directive to Parliament that, by the time I go for re-election will, I hope, be effective legislation. That is something that will live with me for a long time. I look forward to the future. This is now a very good report.

Political group: PPE-DE