Ryanair loses final appeal against €150m aid package to Austrian Airlines

The EU’s Court of Justice said that member states are allowed to “reserve to a single undertaking aid that is intended to make good the damage caused by an exceptional occurrence”.

Ryanair initially had the challenge dimissed by the General Court of the European Union before it appealed to the Court of Justice. 

The EU’s highest court has dismissed an action taken by Ryanair challenging an Austrian government aid package to rival airline Austrian Airlines — which is part of the Lufthansa Group.

The challenge centred around a June 2020 Austrian aid measure to Austrian Airlines which was in the form of a subordinated loan, convertible into a grant, of €150m. This was intended to compensate the airline for the damage resulting from the cancellation or rescheduling of its flights owing to the covid pandemic.