Ryanair Wins EUR4.5m Subsidy Case

by Ulrika Lomas, for LawAndTax-News.com, Brussels

22 December 2008

A European court ruling has backed Ryanair's claims that it did not receive a EUR4.5m subsidy from Belgium, it has been announced.

Ryanair (which is recognized as Europe’s largest low fares airline) welcomed the decision made by the European Court of First Instance (CFI) on December 17 to dismiss the EU Commission’s flawed 2004 Charleroi case which wrongly claimed that Ryanair’s low cost agreement at Charleroi was a subsidy or State Aid.

According to a statement by the airline, the CFI ruling proves that Ryanair did not receive any subsidy or State Aid from Charleroi or the Walloon region.

It also means the Commission’s 2005 “Airport Guidelines” which were based on this flawed Charleroi case are now null and void.

Ryanair has since called upon the European Commission to drop the 8 other State Aid cases that the Commission has brought against similar secondary airports.

Welcoming the decision, Ryanair’s Michael O’Leary commented:

“Ryanair is delighted to have obtained justice in a four year long case, and will now be using this pro-consumer decision by the CFI to call for an early meeting with DG Transport. We believe that now is the time for Ryanair and the EU Commission to build a better working relationship."

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