The Spanish flag-carrier Iberia is reportedly threatening to sue Ryanair over allegedly accepting public money to run services to destinations in northern Spain.
According to The Guardian, Iberia has accused Ryanair of receiving incentives and tax beaks worth around 10 million euros from airports at Girona and Santander.
Angel Mullor, chief executive of Iberia, is quoted as saying: “We are collecting information about what Ryanair is doing in different Spanish airports. As soon as we have the minimum information for the case to be admitted, we will bring demands against the airline.”
As reported, the European commission rules earlier this year that Ryanair had benefited from illegal subsidies after it negotiated a discount on landing charges at Belgium’s Charleroi airport.
The move threatened by Iberia will be the first test of that ruling, The Guardian points out.
Jim Callaghan, head of regulatory affairs for Ryanair, reportedly pointed out that all its agreements with Spanish regional airports were “non-exclusive” and were available to other airlines.
He is quoted as saying: “Iberia is just another high-fares airline that has been ripping off Spanish customers for years and leaving provincial Spain bereft of routes throughout Europe.”
Report by Tim Gillett, News From Abroad Ltd
