Brussels, 16/04/2008 (Agence Europe) - On Wednesday 16 April, the European Commission reached two positive decisions and two negative ones on EU member states applying Community provisions on state aid. The European Commission authorised €180 million of aid granted by the Italian authorities to Digital Display Devices (DDD) for a new plant for the production of Thin Film Transistor-Liquid Crystal Display (TFT-LCD) panels and partial assembly into TFT-LCD modules for flat screens for TV sets and computer monitors. DDD will be the first producer of LCD panels in Europe, as currently they are all imported from the Far East. The project will create about 1000 new jobs in Campania. The European Commission has also authorised a UK grant of €11 million for a staff training programme at the Vauxhall car plant at Ellesmere Port, Merseyside, UK. Vauxhall Motors UK belongs to General Motors.
The Commission has ordered Italy to recover aid amounting to €2.75 million from New Interline, an Italian producer of chairs, located in Basilicata. The Commission concluded that the aid, in the form of a guarantee for a bank loan for rescuing the firm from financial difficulties, was incompatible with the Single Market.
Finally, the Commission has launched an in-depth investigation into the prolongation of a €5 million rescue aid guarantee to Sandretto, an Italian manufacturer of press equipment. The Commission approved the state guarantee in January 2007 on the grounds that it was limited to a maximum of six months. The Commission needs to investigate whether the prolongation beyond six months constitutes a misuse of the aid. (L.C.)