EC approved state investments in fixed assets of AirBaltic

The Latvian air carrier AirBaltic reported the decision of the country’s government to invest an extra 45 million euros in its equity capital has been approved by the European Commission. This step by the Latvian authorities will provide the required support to the aviation company during the critical situation caused by the spread of the coronavirus, compensating for its losses. The company noted the comprehension of the European Commission that AirBaltic has always made a favorable contribution to the economy, and timely support from the state is very significant for its future activities. Therefore, these occasional measures to compensate for the losses of the air carrier are justified. To 2020, government investments in its fixed assets, intended to help restore from the negative influence of the pandemic, amounted to 250 million euros. Then the state’s share in the capital of the aviation company increased to 96.14% from 80.05%. Its losses in 2020 were recorded in the amount of 265 million euros, and the amount of aircraft it operated was reduced from 40 to 25

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