Ryanair back in court in fresh row over airport subsidies

Published: 1 January 2005 y., Saturday
Ryanair is in trouble again over subsidies received from continental airports, with Air Berlin suing Germany's Lübeck airport over payments of up to €10m (£7.1m) made to Ryanair since 2000. Air Berlin, which is competing with the low-cost airline to break into the budget carrier market in Germany, is claiming that Lübeck is distorting competition by paying unfair and illegal subsidies to its Irish rival. Backed by seven airlines, the German carrier filed a complaint against the airport's operator, Flughafen Lübeck, with the regional court in Lübeck, challenging annual payments of €2m to Ryanair. The airlines want Ryanair to pay back past subsidies. Air Berlin also said the payments were made when the airport posted losses of about €2.6m in 2002 and €3.7m in 2003. Michael O'Leary, the chairman of Ryanair, declined to comment in full yesterday. He merely said: "It makes for good press releases at this time of year." Lübeck airport, which is situated near Hamburg in northern Germany, is one of Ryanair's most important bases in the country after Frankfurt-Hahn. Europe's biggest low-fare carrier flies six routes to and from the city, including Stansted and Prestwick. The lawsuit comes as Ryanair continues to fight against a €4m fine from the European Commission for receiving illegal subsidies to fly to Charleroi airport near Brussels. In October, the Irish carrier agreed to repay the money into a blocked account but would get it back if it wins its appeal to the European Court of Justice. The carriers supporting Air Berlin's claim are members of a group of German airlines called ADL. The group includes LTU Lufttransport Unternehmen, Aero Lloyd Flugreisen, Thomas Cook's Condor, Germania, TUI's Hapag Lloyd, Britannia Airways and Fly FTI.
Šaltinis: news.independent.co.uk
Copying, publishing, announcing any information from the News.lt portal without written permission of News.lt editorial office is prohibited.

Facebook Comments

New comment


Captcha

Associated articles

The most popular articles

Taxation: Removing cross-border tax obstacles for EU citizens

Today, the Commission published a Communication which outlines the most serious tax problems that EU citizens face in cross-border situations and announces plans for solutions. more »

State aid: Commission opens in-depth investigation into Hungarian support measures for national airline Malév

The European Commission has opened a formal investigation under EU state aid rules to examine a number of support measures, including several capital injections and shareholder loans, that the Hungarian authorities granted to Malév-Hungarian Airlines in the context of its privatisation and subsequent renationalisation. more »

Fake Chinese products spread

Internet and lax customs enforcement drive growth of 600 billion US dollar counterfeit goods industry. more »

Report: millions escape poverty

350 million people rose out of poverty in the past decade, but 1.4 billion are still extremely poor, says the latest report into rural poverty. more »

Getting more people into better jobs

New plan sets out action to reach 75% employment target for the EU by 2020. more »

Innovation Union: three new European research infrastructures on wind, solar and nuclear energy announced

Research Ministers of the EU Member States and Associated Countries, together with the European Commission, are announcing in Brussels today three new pan–European energy research infrastructures. more »

Commissioner Šemeta visits Moscow to strengthen EU-Russia customs cooperation

Algirdas Šemeta, Commissioner for Taxation, Customs, Audit and Anti-fraud, is visiting Moscow today to discuss ways in which customs cooperation between the EU and Russia can be reinforced. more »

ECB must go on participating actively in tackling the economic crisis

Following on from Monday's debate with ECB President Jean-Claude Trichet, MEPs on Tuesday adopted a resolution, by a show of hands, gauging the ECB's performance in 2009 and suggesting actions to be taken in view of the economic situation. more »

Parliament approves aid to unemployed people in the Netherlands

The European Parliament today approved €10.5 million in European Globalisation Adjustment Fund aid to over 3,000 people in the Netherlands who lost their printing and publishing sector jobs last year, due to the economic crisis. more »

France unveils Taj Mahal gold coin

A diamond-studded gold coin engraved with a picture of the Taj Mahal and worth 100,000 euros is unveiled at the Paris mint. more »