Brussels, 04/05/2005 (Agence Europe) - On Tuesday, the Commission approved the following State aid regimes in the field of transport:
- Rescue aid to a Cypriot national company Cypriot Airways, consisting of a loan guarantee of 51 million EUR (or 30 million Cypriot pounds) granted at market rates, for the next six months. This will allow the authorities to restructure the airline, which employs 2,400.
- A loan of 45 million EUR, guaranteed by the funding company EUROFIMA to the Czech railways (Èeske dràhly), to help with the purchase of new rolling stock for passenger transport. The Commission feels that such a move is a positive contribution to the development of rail transport activity, as it helps to replace the current rolling stock, which is virtually obsolete, and to increase the operational safety of services, whilst only affecting the smooth functioning of the single market in a very limited way.
- The revision of the social aid regime on flights serving Corsica, allowing certain categories of traveller to benefit from reduced-price tickets on four routes. This regime has led to higher demand than was the case in the absence of aid and benefits the carriers operating this routes, but the Commission takes the view that it is compatible with the single market, as it benefits consumers, helps to open up Corsica and offset the handicaps created by its insularity, and is applied without discrimination to all airlines wanting to operate on these routes. The decision is based on similar regimes which have already been approved by the Commission in other Member States (Canary Islands, Balearic Islands, Sicily and Madeira notably).