Ryanair says will appeal Lufthansa rescue deal

Ryanair said Tuesday it will appeal against Germany's temporary partial nationalisation of rival carrier Lufthansa, arguing the rescue deal constitutes "illegal state aid" that distorts competition. Berlin had launched Monday a $9.8b rescue of Lufthansa under a deal that sees it take a 20% stake of the coronavirus-ravaged group. "The German government continues to ignore EU rules when it suits them to subsidise large German companies, but then lectures every other EU government about respecting the rules when they ignore them," said Ryanair CE Michael O'Leary. "Ryanair will appeal against this latest example of illegal state aid to Lufthansa, which will massively distort competition and level playing field into provision of flights to and from Germany for the next five years." The Dublin-based carrier had meanwhile taken a GBP600m loan earlier this month from the UK government's COVID Corporate Financing Facility. Ryanair however argues that the facility, which is designed to help coronavirus-hit companies and is adminstered by the Bank of England, does not compare to Lufthansa's rescue package. "Lufthansa is addicted to state aid. Whenever there is a crisis, Lufthansa's first reflex is to put its hand in the German government's pocket," said O'Leary.<br/>