State aid - Case 4
European State aid investigation regarding Leipzig airport. E.CA advised Leipzig airport and the Bundesland Sachsen in a State aid investigation of the European Commission. The work involved an application of the market economy investor principle to the investment into a new runway at Leipzig airport and the decision to reserve a large share of the new slot capacity to one air freight operator, DHL. Additionally, we determined the appropriate market insurance premium for compensation of damages in the event of a night flight ban, for which the Bundesland Sachsen had provided a guarantee to the air freight operator. Both tasks required simulating different scenarios for future developments and applying appropriate techniques and assumptions to the calculation of net present values.