BERLIN – 05 September 2017 – Germania has determined that its legal action with the German federal government has been finally determined and the matter has been resolved. This determination is based on the decision of the EU Commission on 04 September 2017 that permits the Federal Republic of Germany to guarantee the EUR 150 million loan agreement for Air Berlin by the state-owned KfW Bank only under the strictest conditions.
Through the Germania’s action at the Berlin District Court and the EU Commission proceedings, the principle that state aid for Air Berlin may only be granted with the review and permission of the EU Commission has been upheld. To the extent that the state aid in this case is subject to strict requirements, the corresponding infringement on free and fair competition should be limited.
It is incumbent upon the competition authorities to ensure that these restrictions are met to ensure free and fair competition. The same is true for a transparent and unhindered bidding process in order to prevent monopolies and to ensure equal opportunities within the market.