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Image header Agence Europe
Europe Daily Bulletin No. 9075
Contents Publication in full By article 23 / 37
GENERAL NEWS / (eu) eu/state aid

Commission examines aid paid to Polish mechanical engineering firm Huta Stalowa Wola

Brussels, 24/11/2005 (Agence Europe) - The European Commission has opened an in-depth investigation into the compatibility of certain State aid paid to State-owned company Huta Stalowa Wola as part of a restructuring plan over the years 2003-2007. The investigation will focus on restructuring aid of the sum of 27 million, which was authorised before Poland's accession to the EU, but paid after 1 May 2004. Another chunk of the aid (26 million EUR), which was paid before enlargement, cannot be investigated by the Commission. This aid was granted in the form of reimbursements, debt cancellation, postponements, loans under preferential conditions and capital invested on the part of several Polish public authorities, both central and local. The Commission is questioning the conformity of this aid with Community rules on rescue aid and restructuring aid, and expresses doubt at their capacity to guarantee HSW's long-term return to viability.

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