Ryanair to challenge Lufthansa's €9bn bailout package

Even as Germany agreed to a €9bn bailout of Germany's flagship air carrier Lufthansa, its rival Ryanair was vowing to fight the deal in court. Germany's government would get a 20 percent stake in Lufthansa for its troubles, as well as a veto over any potential hostile bid for the airline. “Lufthansa is addicted to state aid,” charged Ryanair's Michael O’Leary in a statement. “Ryanair will appeal against this latest example of illegal state aid, which will massively distort competition and the level playing field into the provision of flights to and from Germany for the next five years.” But the entire global airline industry appears to be state-aid junkies, given the fact that KLM, Air France, Delta, United and American Airlines have all been seeking their own deals with their respective governments. Germany's justification is that Lufthansa's fundamentals are sound and that it's run profitably, but that the global pandemic now threatens both thousands of jobs connected with the airline as well as the country's position as a transportation hub.