International Business

From Times Staff and Wire Reports

EC to Investigate Air France Restructuring Plan: The European Commission said it will investigate the French government's plans to inject $3.56 billion into Air France to determine if the aid would violate European Union rules. The investigation would focus in part on whether the aid would harm competition. Under the restructuring plan announced in March to make Air France profitable, the state-owned carrier has agreed to slash 12% of its work force and freeze wages until 1996. Meanwhile, the French government said it will change Air France's corporate structure in order to distribute shares to employees as dividends and to compensate for pay cuts and other concessions.

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