MIAMI – Finnair (AY) has finally won approval from EU Commission on Competition Policy on US$409m (EU€ 351.3m) state aid as compensation for losses caused by the ongoing pandemic, in particular during the period going from March to end December 2020.
According to PubAffairsBruxelles.com, a non-profit organization that follows the works of the European Union, the EU Commission has taken into consideration the fact that AY is a major actor in the air transportation market.
As such, the airline operates an important network of 130 destinations with up to 15 million passengers carried during 2019. In normal years, AY operates a fleet of 59 aircraft and covers particularly European and Asian countries.
Losses incurred by AY massively originate from travel restrictions imposed in Finland as well as by destination countries to contain the spread of COVID-19. The damage affected both international and intercontinental flights.
Positive Comment from EU Commissioner
While commenting on the favorable decision taken in regard to the state aid for the airline, Margrethe Vestager, EU Commissioner for Competition Policy, stated that the aviation sector had been particularly affected by the various travel restrictions imposed to contain the spread of the coronavirus.
Vestager went on to say, “With the measure we approved today, Finland will compensate Finnair for damages directly suffered as a result of such restrictions.”
Featured image: Finnair Airbus A350-900 OH-LWG – Photo : Brandon Farris/Airways