Aslıhan DOĞRU -TDO- The European Union (EU) has announced that France has approved 4 billion Euros in financing for Air France, the airline adversely affected by the new type of coronavirus (Covid-19) pandemic.
The EU Commission has announced that the government's financial assistance to Air France, which is suffering financially due to the pandemic, is in line with EU public support rules.
The Union said in a statement that the Eu Commission approved the French government's 4 billion Euros to re-capitalize the company.
Air France has agreed to open 18 of its flight slots at Paris Orly Airport to rival airlines to benefit from the support.
On the other hand, it was reported that the company will not be able to distribute dividends, buy back shares and give bonuses to executives until the re-capitalization is repaid.
With EU approval, the French state's request to increase its stake in Air France from 14.9% to 30% was also accepted, the statement said.