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

Nautilus buys Triton for $63 million

Nautilus Hyosung announced last week that it had been in talks with Triton and Dover for several months and expected the sale to close before the end of the year. more »

Motorola Invests in Amobee Media Systems

Motorola, Inc. through Motorola Ventures, its strategic venture capital arm, today announced that it has made an investment in Amobee Media Systems, a leader in advertising solutions for mobile operators. more »

Ukrainian bank buys more than 3,000 Wincor Nixdorf ATMs

PrivatBank, based in Ukraine, has further strengthened its self-service business with the purchase and installation of 3,100 Wincor Nixdorf ATMs for sites in Ukraine, Russia, Georgia, Cyprus and Latvia. more »

National Budget Revenue of the 1st Half-Year Was in Line with the Target

According to final data presented by the Ministry of Finance, national budget revenue of the 1st half-year of the current year amounted to LTL 11 billion 161.8 million, and that was by 1.1 % over the target. more »

WTO countries failed to find common positions on liberalisation of markets for agrculture and industrial goods

On 29 July, Lithuanian Minister of Foreign Affairs Petras Vaitiekūnas took part in the European Union’s General Affairs and External Relations Council meeting in Geneva. more »

Gross domestic product grew by 5.5 per cent in II quarter 2008

Statistics Lithuania informs that based on available statistical data and used econometric models, estimated GDP in II quarter 2008 totalled LTL 28393.3 million at current prices and, as compared to II quarter 2007, grew by 5.5 per cent more »

Study Finds Pervasive Networking Talent Shortfall in North America

Cisco, in collaboration with the Cisco Learning Institute, today announced the results of a study on networking labor needs in North America. more »

Credit card firms cash in on ATM withdrawals

Credit card firms are cashing in on customers who use their plastic to take out cash from an ATM, according to new analysis by MoneyExpert.com. more »

Wincor Nixdorf expects to hit '08 financial goals

Despite deterioration in the economy and general business climate, Wincor Nixdorf International says it expects to reach its financial goal of increasing year-to-year net sales by 8 percent and earnings before taxes and amortization by 10 percent. more »

The Ingenico Group recorded consolidated revenue of €186 million

The Ingenico Group recorded (unaudited) consolidated revenue of €186 million for the second quarter of 2008, an increase of 32% at current exchange rate and 35% at constant exchange rate. more »