Folks - this is the latest from the London Stock Exchange.
Ryanair Responds to Latest Abusive Attempt by Air France to Block
Competition in France
Ryanair, Europe's largest low fares airline, today (Tuesday, 13th June 2006)
announced that it has filed a further complaint to the European Commission on
Air France's latest attempt to block competition from low fares airlines in
France. Last month, Ryanair announced that it would base 2 new aircraft at
Marseille Airport, which will serve 13 routes and deliver almost 1 million
additional passengers annually to the airport, which equates to a e100 million
in savings to French consumers and visitors to France off the high fares of Air
France. However, Air France announced today that it had filed an action in the
French Conseille d'Etat against Marseille Airport in an attempt to block
Ryanair's use of this new low cost terminal - despite the fact that the tariff
for using this facility is published and has been agreed by the French Civil
Aviation Authority.
Commenting today on this latest abuse by Air France, Ryanair's Head of
Regulatory Affairs, Jim Callaghan, said:
"This is the latest in a long line of abuses by Air France to protect
their strangle-hold on the French market:
1. Air France succeeded in blocking competition from Ryanair on the London to
Strasbourg route. The result has been predictable, Air France is again
ripping off consumers with e800 return fares and passenger numbers have
plummeted from 20,000 per month to just over 2,000.
2. Air France also blocked competition from easyJet in Bale-Mulhouse by again
resorting to the local courts.
3. Now Air France is trying to prevent Ryanair from using lower cost facilities
in Marseille Provence Airport, which were offered to Air France but were
rejected.
"Ryanair has therefore today submitted a further complaint to the
European Commission against Air France on the basis of an abuse of
dominance under the European competition rules. In no other European
member state does the national airline hold such a dominant position and
engage in such abusive practices in order to block competition.
"Last month, Ryanair filed a complaint to the European Commission
regarding approximately e1 billion worth of state aid that Air France
has received from the French Government in the form of subsidised
domestic landing and passenger fees. This illegal state aid has enabled
Air France to dominate the French market and force smaller competitors
off the market.
"If Jean-Cyrille Spinetta is truly concerned about "equality", then he
should:
1. have accepted Marseille Airport's offer of lower cost, efficient facilities
instead of abusing the French Court system to prevent competition.
2. stop ripping off French consumers and start charging the same fares as
Ryanair.
3. start paying the same landing fees on domestic traffic as Ryanair has to pay
on international flights instead of receiving illegal subsidies from the
French Government.
"We are calling on the European Commission to put an end to Air France's
abusive practices in the French market and to promote competition from
low fares airlines, which have been successful in bringing low fares,
competition and choice to every other European Member State, except
France!"
Ends. Tuesday, 13th June 2006
For reference:
Peter Sherrard - Ryanair Pauline McAlester - Murray Consultants
Tel: +353-1-8121228 Tel: +353-4980300
Editor's Note:
Ryanair has announced 13 routes to commence from Marseille Airport in
November 2006 - Brussels Charleroi; Eindhoven; Karlsruhe Baden;
Frankfurt Hahn; London Stansted; Rome Ciampino; Dublin; Glasgow
Prestwick; Porto; Fez (Morocco); Marracech (Morocco); Oujda (Morocco);
and Oslo Torp.