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Ryanair chief executive Michael O'Leary. Laura Hutton/Photocall Ireland

Ryanair ordered to pay Germany back €500,000, but everything else is grand

The budget airline’s passenger numbers keep growing and its planes are getting more full.

RYANAIR HAS REPORTED another boost in passengers a day after it was told to repay €500,000 in illegal subsidies from a German airport.

The Irish low-cost carrier said it had flown 400,000 more passengers in September than in the same month a year ago, an increase of 5% to 8.5 million customers.

Ryanair has been more successful at packing people on planes this year with its load factor – the share of its available seats being filled – up to 90% from 85% in September 2013.

The airline said its rolling annual traffic level was up 4% to 83.8 million people.

Airport saga ends in €500,000 fine

Yesterday Ryanair was ordered to pay back €500,000 the European Commission ruled it got in illegal state aid from the German government for its setup at Zweibrücken Airport.

But the Irish carrier’s arrangements with four other European airports were cleared in the decision, ending a long-running saga which stretched back to 1999.

Ryanair said all its airport arrangements were legal and it would appeal the ruling on Zweibrücken, where it stopped operating in 2009 after carrying just 50,000 passengers via the hub.

Flughafen Zweibrücken Terminal.jpg The bustling Zweibrücken Airport in Germany. Wikimedia Wikimedia

The budget airline’s legal and regulatory affairs director, Juliusz Komorek, said 10 of its deals that had been put under the microscope so far had been given the tick of approval and it had ferried 136 million people through those airports, compared to the tiny number it carried through Zweibrücken.

Ryanair recently announced it expected to make up to €650 million in profits this year.

Commission vice president Joaquín Almunia said airlines had to pay the fair costs of operating in an airport and there should be a level playing field for all European hubs and carriers.

“If they pay less, then this amounts to a hidden subsidy which distorts competition between airlines,” he said.

It ordered various airlines to pay back about €6 million in subsidies in yesterday’s ruling.

READ: Even Brian O’Driscoll fears the Ryanair check-in fee

READ: Ryanair thinks its new friendly approach is working

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8 Comments
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    Mute Silent Majority
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    Oct 2nd 2014, 11:24 AM

    Don’t worry about it Mick, seems we all owe the Germans money for something.

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    Mute Justin Devaney
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    Oct 2nd 2014, 11:29 AM

    Illegal subsidies 500,000 euro.
    Priority illegal subsidies 650,000

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    Mute Keelan O'neill
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    Oct 2nd 2014, 11:40 AM

    Fingers crossed he rolls up to the Reichstag with a truckload of 1c.

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    Mute jack frost
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    Oct 2nd 2014, 1:57 PM

    Write them a promerisiey note Mick .

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    Mute RonanM
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    Oct 2nd 2014, 11:26 AM

    and the 6 million in Belgium.

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    Mute Michael Kelly
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    Oct 2nd 2014, 8:22 PM

    Michael is our Steve Jobs

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    Mute Barry Healy
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    Oct 2nd 2014, 10:29 PM

    If there was no one else flying into the airport how is it unfair advantage? Also it seems to have been a terrible idea anyway on which they probably took a loss so is the fine adjusted for how much of a hit Ryanair took by opening there in the first place?

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    Mute john smith
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    Oct 4th 2014, 11:34 AM

    O mick saving the tax payer or robbing the tax payer until your caught .are you going to do a rent review on the property that the tax payer has to pay Phoenix house the rate has increased over 50% who pays that the tax payer

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