Ryanair tells Croatia Airlines to “do its homework”
Low cost carrier Ryanair, which will open a base in Zagreb and Zadar this summer, has slammed Croatia Airlines’ recent complaints that the company is receiving preferential treatment in the Croatian capital. Jason McGuinness, Ryanair's Chef Commercial Officer, said, “It is inappropriate for them to complain about Ryanair after receiving millions of euros. The fact of the matter is that Croatia Airlines has not achieved growth and profit in the past four years. Ryanair will bring a total of fourteen new routes to Zagreb this year, and Croatia Airlines has brought three in the past four years. We think Croatia Airlines must do its homework again”.
Ryanair recently submitted an appeal to the EU General Court against the European Commission’s decision last December to approve 11.7 million euros in state aid to Croatia Airlines aimed at compensating the carrier for losses incurred as a result of the coronavirus outbreak and the travel restrictions introduced by Croatia and other countries to limit the spread of the virus in the period between March 19, 2020 and June 30, 2020. The budget carrier has filed similar complaints against a number of European carriers with the court determining yesterday that aid provided to Air France - KLM, as well as TAP Air Portugal violated EU rules. However, the annulments and cash repayments will be suspended until further rulings are made by the European Commission.
Commenting on state aid, Mr McGuinness noted, “We are the strongest company in Europe, and we don't get help from state funds, as is the case with other carriers, including Croatia Airlines. We do not receive such assistance, and we have the strongest balance sheets in Europe. We are the only European carrier that has achieved growth in air traffic over several years. We see that, for example, Croatia Airlines has postponed the purchase of new aircraft, while Ryanair has confirmed orders for over 210 new Boeing aircraft". Last year, Croatia Airlines said it was negotiating the cancellation of its order for four A320neo jets. Based on the company’s five-year business development plan (2020 - 2025), it intends on renewing its fleet with mid-age A319 and A320 aircraft, as well as replace wet-leases with long-term dry-leases.
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