Estonian Air Ceases Operations After EU Orders State Aid Return

  • Estonian Air to halt flights from Tallinn from Sunday
  • State aid gave carrier ``undue advantage,'' EU commission says
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Estonian Air will cease operations after the European Commission ordered it to pay back aid it received from the government.

The state-controlled airline will stop flying from Sunday, it said on its website. Aid given by Estonia to the carrier gave the company an “undue advantage” over its competitors, breaching EU state aid rules, the European Commission said in a statement Saturday.