The European Commission has launched an in-depth investigation into restructuring aid of around EUR 20 million to the Italian companies NGP and Simpe. NGP was created in 2003 through the separation of the polyester polymer business of Montefibre. NGP ran into financial difficulties in 2004. In July 2005 an agreement to safeguard the production of polyester polymer was signed with regional authorities and by several companies located on the site. In September 2005 NGP set up a new company Simpe which took over the polymerisation assets. However, the State aid rules prohibit new companies from receiving restructuring aid. In addition, companies that receive restructuring aid must finance 50 per cent of the restructuring costs. The Commission is investigating whether the aid was in compliance with these aspects of the State aid rules.