Brussels, 30/06/2010 (Agence Europe) - On Wednesday 30 June, the European Commission authorised a €550 million capital injection provided by Austria in favour of the BAWAG bank (Bank für Arbeit und Wirtschaft und Österreichische Postsparkasse Aktiengesellschaft) and approved a new restructuring plan of the bank. The Commission found the restructuring package to be in line with its communication on the restructuring of banks during the crisis because it will allow the bank to become viable without continued state support, while limiting distortions of competition. The plan includes several commitments, such as divestments, a temporary dividend and acquisition ban, limitations regarding investments in certain business fields and a premature redemption of certain P.S.K. liabilities covered by a state guarantee. This is to ensure a sufficient contribution by the bank and its shareholders to the cost of restructuring and to limit the distortions of competition brought about by the aid. BAWAG P.S.K. is one of the largest banking groups in Austria. In 2007, the Commission approved a €900 million state guarantee for BAWAG and a restructuring plan (EUROPE 9457 and 9313) and the bank again got state support in 2009 because of the global financial crisis - a €400 million asset guarantee for a period of six months and a €550 million capital injection, subject to the submission of a modified restructuring plan. The asset guarantee was withdrawn on 22 June 2010. (F.G./transl.fl)