Brussels, 17/03/2004 (Agence Europe) - The Portuguese subsidiary of the German semi-conductor group Infineon is to be allowed to benefit from investment aid to extend its activities to Vila do Conde, Portugal. The European Commission has just authorised the national authorities to grant aid in the form of a loan to be partially transformed into a non-reimbursable grant, and of an income tax exemption for profits deriving from the investment. The aid was notified in July 2003, and evaluated in the light of regional aid for large investment projects. The Commission firstly assessed the market situation to check whether or not it was in decline. It then noted that the aid would help to create 252 new jobs and safeguard 596 existing ones. The Commission considered that the number of new jobs was reasonable for an increase in production on 150%. Furthermore, Portugal stated that the investment created 30 jobs indirectly in the region. As the aid does not exceed the maximum allowable intensity of aid (29.4% with a maximum of 32%), it was authorised without a problem.