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European justice cancels its plan to rescue Lufthansa and SAS

May 10, 2023

The court said in a statement that the European Commission, which approved a German rescue plan for Lufthansa for 6 billion euros in 2020, “made several errors” because the German company “was unable to to finance itself on the markets” to meet its needs. .

As for the Danish and Swedish plan for the Scandinavian company, which was also approved by Brussels in 2020, its value is just over one billion euros.

These appealable judgments follow legal action, in particular by the low-cost airline Ryanair, which considers itself a victim of competition. But its impact remains uncertain.

The aid mechanism for the German airline, which saw the German State enter its capital in exchange for fresh money, has already been put in place.

In September, the German state sold the last shares it still held in the capital of Lufthansa, after having entered 20% in 2020. Thus, the company became entirely owned by private shareholders.

Read the Latest World News Today on The Eastern Herald.

Arab Desk

Arab Desk

The Arab Desk leads The Eastern Herald's reporting on the Middle East and North Africa. The desk has covered the Gaza-Israel war since October 2023, the Iran-Israel war of 2025-2026, the fall of the Assad government in Syria, Hezbollah's political and military shifts in Lebanon, the war in Yemen, and the diplomatic realignment of the Gulf states under the Abraham Accords and the Saudi-Iranian rapprochement.

Reporting in English, the desk verifies through named primary sources — including the Israel Defense Forces spokesperson's office, the Saudi Press Agency, Iranian state media, the UN Security Council, and accredited correspondents on the ground in Cairo, Beirut, Doha, and Jerusalem — and corroborates through Reuters, AFP, Al Jazeera, Arab News, and The National. Editorial accountability follows The Eastern Herald's editorial standards and corrections policy.

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