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Spain slaps $187 million fine on Ryanair, EasyJet and others for 'abusive' cabin luggage fees

Spain's Ministry of Consumer Rights on Friday slapped a $179 million euro ($186 million) fine on five low-budget airlines for "abusive practices" including charging additional cabin luggage fees.

Ryanair was struck with the lion's share of the penalty, receiving a 107.78-million-euro fine. Spanish low-cost airline Vueling was ordered to pay 39.2 million euros and EasyJet was fined 29 million euros. Scandinavia's second-largest airline Norwegian and Spanish airline Volotea each received penalties in excess of 1 million euros.

The five airlines should discontinue their practice of requiring additional payment for cabin luggage and reserving a seat near a dependent traveler, the ministry said. The airlines were also criticized for "disproportionate and abusive" charges to print tickets, allegedly omitting or failing to clarify pricing information on their websites, and failing to allow cash payments at Spanish airports.

Spain's Association of Airlines (ALA) said it will appeal the fine for cabin luggage fees in court, dubbing the penalty as "manifestly illegal" and against European norms, according to a CNBC translation of a statement from the industry group.

"If implemented, the resolution of the Ministry of Consumer Rights would imply irreparable damage to [the] passenger, an attempt against their freedom to tailor their voyage depending on their needs, and an obligation to pay for services that they might not need," ALA President Javier Gandara said, according to a CNBC translation.

CNBC has reached out to the airlines for comment.

Ryanair said it would "immediately appeal Spain's illegal and baseless baggage fines," with CEO Michael O'Leary saying the sanctions, which "have been invented by Spain's Consumer Affairs Ministry

Read more on cnbc.com
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