EC probes into the EUR 190 mln state aid for Romania's flag carrier
Photo by Iakov Filimonov / Shutterstock.com
The European Commission has opened an investigation into Romania's EUR 190 million support measures in favor of TAROM airline, according to a statement published on Monday.
The Commission is probing into whether the restructuring package for the state-owned flag carrier was in line with EU rules on state aid to companies in distress.
Romania eyes to cut costs and renew TAROM's old fleet by capital injection, through a direct subsidy and a debt write-off corresponding to the amount of rescue aid (approximately EUR 36.7 million) and related interest, the Commission reported, adding the carrier had been experiencing financial difficulties for the past years.
On May 28, 2021, the Romanian authorities notified the Commission of a restructuring plan for TAROM.
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