newstodate.aero
Jan 30, 2013 (newstodate): The moment of truth is drawing closer for Estonian Air that has reportedly delivered its restructuring plan for scrutiny by the Estonian government on January 31, 2013.
No details of the plan have so far surfaced, but state approval of the restructuring plan is one condition for subsequent approval by EU of state aid for the restructuring the ailing airline that is deeply in the red and only saved by a rescue loan granted on January 17, 2013, to alleviate the immediate effects from lost revenues due to Estonian Air pilots' strike threat.
Once, or rather if the airline's restructuring plan is approved by the government, a formal request may be forwarded for EU approval of up to 70 mio euro deemed necessary for a longer-term solution to the airline's survival.
EU is already investigating if a state grant in December for 8.3 mio euro loan to Estonian Air falls within acceptable limits.
No details of the plan have so far surfaced, but state approval of the restructuring plan is one condition for subsequent approval by EU of state aid for the restructuring the ailing airline that is deeply in the red and only saved by a rescue loan granted on January 17, 2013, to alleviate the immediate effects from lost revenues due to Estonian Air pilots' strike threat.
Once, or rather if the airline's restructuring plan is approved by the government, a formal request may be forwarded for EU approval of up to 70 mio euro deemed necessary for a longer-term solution to the airline's survival.
EU is already investigating if a state grant in December for 8.3 mio euro loan to Estonian Air falls within acceptable limits.