Brussels, 16/07/2008 (Agence Europe) - On Wednesday 16 July, the European Commission decided to launch a formal investigation into possibly illegal state aid paid to C. Hartwig. First of all, it is looking at whether the loan granted by the state to restructure C. Hartwig Katowice is in line with state aid rules on restructuring. The Commission will check, in particular, whether the financial difficulties of C. Hartwig Katowice are too serious to be dealt with by its future mother company PKP Cargo and whether the restructuring measures will restore the long term viability of the company. Secondly, the Commission needs to investigate fully whether the measures undertaken by PKP Cargo (increase of C. Hartwig capital, replacement of a debt of C. Hartwig by shares, a guarantee for C. Hartwig's loan) involve any advantage in favour of C. Hartwig. Finally, the Commission would like to have more information demonstrating that the takeover of C. Hartwig Katowice by PKP Cargo will be completed under normal market conditions and does not involve any undue advantage in favour of PKP Cargo. (A.B./transl.rh)