The European Commission approved the €650 million support package prepared by the Polish Government to support LOT Polish Airlines which is struggling due to the covid-19 crisis.
The support package consists of a 400 Million Euro subsidised loan and a capital injection of 250 Million Euros.
In a statement Executive Vice-President Margrethe Vestager, in charge of competition policy, said:
”LOT plays a key role for the connectivity and economy of Poland. With these measures, Poland will contribute approximately €650 million to help the airline weather the current coronavirus crisis. The decision ensures that the State is sufficiently remunerated for the risk taxpayers assume, and that the support comes with strings attached, including a dividend ban as well as further measures to limit distortions of competition. ”
”We continue working in close contact and cooperation with Member States, to find workable solutions to mitigate the economic impact of the coronavirus outbreak, in line with EU rules.”
