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26 26.35
28.9 29.45
Economy 2019-02-15T05:08:15+02:00
Ukrainian news
UIA Asks Court To Order Infrastructure Ministry, Lviv Airport, Ryanair To Stop Illegal Activities, Compensate

UIA Asks Court To Order Infrastructure Ministry, Lviv Airport, Ryanair To Stop Illegal Activities, Compensate UAH 20.05 Million In Losses

Ukraine International Airlines (UIA) has filed lawsuits against the Ministry of Infrastructure, the Lviv international airport, and the Ryanair low-cost airline, asking a court to order them to stop illegal activities and pay UAH 20.05 million as compensation for losses incurred by Ukraine International Airlines as a result of its need to lower prices of tickets for its own flights in response to its competitor's low ticket prices.

Minister of Infrastructure Volodymyr Omelian announced this on Facebook, Ukrainian News Agency reports.

"Ukraine International Airlines is taking every opportunity to block arrival of low-cost airlines in Ukraine and prevent Ukrainians from flying around Europe and the world tens of times cheaper and increase the flow of tourists to Ukraine several times. As confirmation that I am right, I received a number of UIA lawsuits yesterday, the essence of which is as follows: cancel Ryanair's contract with the Lviv airport; forbid the ministry to provide aid to Ryanair in Ukraine. Well, and the cherry on the cake: because of the possible arrival of Ryanair in Ukraine, the UIA company has been forced to cut prices and inflict damage on itself. Therefore, the 'national' airline is asking a court to order the Ministry of Infrastructure to compensate it for tens of millions of hryvnia in 'losses,'" the minister wrote.

According to documents posted by the minister of infrastructure, Ukraine International Airlines has filed three lawsuits with the Kyiv Economic Court, asking the court to invalidate Ryanair's contract with the Lviv airport and the Ministry of Infrastructure's approval of the conclusion of this contract, as well as to order submission of certified copies of the agreement on the terms of airport services and the approval of the conclusion of this agreement.

In addition, Ukraine International Airlines is asking the court to invalidate the agreement between the Ministry of Infrastructure and Ryanair on the terms of airport services at the Boryspil international airport and order the ministry to pay Ukraine International Airlines UAH 20,050,488 as compensation for its losses.

Ukraine International Airlines is also asking the court to order the Ministry of Infrastructure to end the granting or facilitation of the granting of any privileges (including discounts and benefits) to Ryanair if such privileges are not available to Ukraine International Airlines.

As Ukrainian News Agency earlier reported, Omelian has said that Ryanair is ready to resume negotiations with Ukraine.

The Boryspil international airport decided to resume negotiations with Ryanair on July 13.

Ryanair announced on July 10 that it was canceling its planned entry into Ukraine after the Boryspil airport's General Director Riabikin said that he did not intend to sign an agreement with Ryanair if the agreement was unprofitable for the airport.

The Boryspil airport's General Director Pavlo Riabikin also accused Ryanair of exerting political pressure on the airport to sign the contract.

Ryanair announced in mid-March that it would begin operating flights from Kyiv to Eindhoven, London, Manchester, and Stockholm from October 2017.

The Kyiv (Zhulyany) international airport announced in April that had suspended dialogue with Ryanair because the airline's price demands were inconsistent with the capabilities of the airport.


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