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Image header Agence Europe
Europe Daily Bulletin No. 9075
Contents Publication in full By article 25 / 37
GENERAL NEWS / (eu) eu/state aid

Commission refuses delivery date extension for ship from Italian shipyard

Brussels, 24/11/2005 (Agence Europe) - The Commission has refused to extend the delivery date for a cruise ship constructed in Italy by the Fincantieri shipyard. Operating aid for shipbuilding was abolished at the end of 2000, but aids of this type, to the tune of 9% of the value of the naval construction contracts signed before this date, have been authorised as long as the contracts are carried out within 3 years. Contrary to a decision of October 2004 authorising such an extension for four vessels in Fincantieri shipyards, the Commission, this time, thinks that it was clear from when the contract was signed that the delivery deadline of 3 years could not be kept to. Initially planned for the end of 2003, the delivery of five vessels was postponed, and the Italian authorities paid aid of 9%, with the reservation of authorisation from the Commission. It said at the end of 2004 that the extension of the delivery deadline for four vessels was justified because of exceptional circumstances (postponement of delivery at the request of the ship-owner following the attacks of 11 September 2001). The Commission, which decided that in the absence of exceptional circumstances Fincantieri would have been able to deliver four vessels by the end of 2003, nonetheless launched formal investigative proceedings for the fifth vessel. In this case, its doubts were confirmed, showing that Fincantieri would have found it technically impossible to deliver the vessel by the end of 2003.

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