The fight between Lufthansa and Ryanair about Laudamotion is not over yet

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In an earlier story, we related how the authorisation given to Ryanair by the European Union to purchase Laudamotion led to a bitter fight between Ryanair and Lufthansa. The story is not over yet. Ryanair fired the first shot. Lufthansa responded immediately. Ryanair has now also replied to Lufthansa’s response:

Lufthansa tells falsehoods about Laudamotion

Ryanair today (13 July) confirmed that Lufthansa Group is making false claims about Laudamotion.

Lufthansa’s claim that it has “fully complied with all requirements of the European Commission regarding the required transfer of aircraft to Laudamotion” is simply untrue. Lufthansa agreed to transfer 11 aircraft to Laudamotion, yet as of today’s date (13 July), Lufthansa has only delivered 9 aircraft.

1. One of the aircraft, which was supposed to be delivered “at the beginning” of June, has now been delayed until at least the end of August, which means Laudamotion has lost the benefit of this aircraft (and its slots) during the peak summer months.

2. Not alone has Lufthansa failed to honour its obligations to lease the 11 aircraft, but the lease costs of the aircraft it has leased to Laudamotion are substantially higher than market rates for Airbus A320’s of this age.

3. Laudamotion has repeatedly honoured both its aircraft lease payments and maintenance reserves to Lufthansa. Lufthansa’s claim of “repeated failure” to pay is false.

4. Lufthansa has used every tactic in the book to harm and damage Laudamotion including withdrawing flying business from Laudamotion (which Lufthansa had originally agreed) then refusing to pay over €1.5m of lease payments properly due to Laudamotion for flying carried out on behalf of Lufthansa in March, April & May.

Despite Lufthansa owing Laudamotion over €1.5m in overdue lease payments for the months of March, April & May, Lufthansa has attempted to terminate all 9 aircraft leases on unfounded legal grounds, even though lease rentals for the full month of July had already been paid at the end of June.

Ryanair’s Juliusz Komorek said:

“Lufthansa is abusing its dominant position in the German and Austrian markets in a blatant attempt to eliminate a much smaller, Austrian competitor, Laudamotion. Lufthansa’s attempt to terminate Laudamotion’s 9 aircraft leases during the peak of the summer period, at a time which would cause maximum damage to Laudamotion and its customers, is in breach of its obligations to the EU.

Lufthansa dominates the German, Austrian, and Swiss markets and the fact that it is now abusing this position to try to remove Laudamotion’s aircraft fleet, while refusing to pay Laudamotion lease payments that are months overdue, is in flagrant breach of fair procedure and competition rules. It is Lufthansa who has repeatedly failed to pay Laudamotion over €1.5m of lease payments for March, April and May.”

13 July 2018

Lufthansa, the floor is yours!

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