Ryanair calls on EU to block Austrian aid

Ryanair today called on the EU to block the €500m state aid package which the Austrian government proposes giving to Lufthansa as part of the latters purchase of the government's 42% stakeholding in Austrian Airlines.

Ryanair's Director of Regulatory and Legal Affairs Jim Callaghan said "The Austrian Government is so desperate to get rid of its national airline that it agreed to pay Lufthansa €500m to take over the Government’s 42% stake in the airline! This is in clear violation of the EU State aid rules, as no private investor would pay €500m to dispose of its stake in a virtually bankrupt company. We do not see private owners of the majority stake in Austrian Airlines queuing up to contribute hundreds of millions of euros to dispose of their shares to Lufthansa, so this is yet another case of blatant State aid to yet another EU flag carrier airline."