Estonian airline ceases operations after EU ruling on aid
Estonia's ailing national carrier is immediately ceasing operations after the European Union ruled that the Baltic nation's carrier had illegally received state aid, a decision that put it out of business.
EU Antitrust Commissioner Margrethe Vestager said the aid breached EU rules. Vestager said Saturday the small airline must pay back "about 85 million euros ($92.1 million) plus interest" to Estonian taxpayers.
The carrier "didn't carry out the necessary restructuring to become viable as a business," Vestager said in a statement.
Estonia already has earmarked 40.7 million euros ($44.1 million) as initial capital for a new, fully state-owned carrier. Under the plan, domestic and foreign investors would be allowed at a later stage.
