Brussels, 20/11/2012 (Agence Europe) - On 20 November, the European Commission made a number of decisions regarding state aid in transport in three member states.
The Commission therefore opened three in-depth investigations in: - Slovenia, to verify whether the four capital injections carried out either directly by Slovenia or through the State-owned holding PDP or its predecessor KAD in favour of the Slovenian airline Adria Airway, which was suffering financial difficulties, are in line with EU state aid rules, and whether they gave the airline a financial advantage over its competitors; - Latvia, to decide whether different aid packages agreed in 2010 and 2011 by the state and different public entities to the national airline airBaltic (experiencing financial difficulties) are in line with EU state aid rules. These involve a loan of €22.65 million and the first tranche of a second loan of €58.89 million granted in 2011; a capital increase agreed in December 2011 by Latvia and BAS, a former private majority shareholder of airBaltic; the acquisition by Latvia and BAS of 0%-coupon bonds issued by airBaltic; several transfers and payments made by a nationalised bank and a transfer to airBaltic of a claim held by Latvia for a symbolic amount.
On the other hand, with regard to Poland, the Commission decided that LOT Services companies, LOT Catering and LOT Airport Maintenance Services, subsidiaries of the Polish airline LOT, were sold in accordance with market conditions and their sale did not include any elements of state aid under the terms of EU rules. Since 2009, LOT has been attempting to restructure and improve its financial situation by selling off subsidiaries and focusing on core activities such as freight and passenger transport. (FG/trans/fl)