The European Commission has authorised, under EC Treaty State aid rules, €46 million of regional investment aid, which the Italian authorities intend to grant to Fiat for an investment project for the production of a new car model in Sicily. The project involves investments to extend the existing Fiat plant in Termini Imerese in order to change the production process and to diversify its production. The investment is expected to maintain existing jobs in the region. The Commission found the measure to be compatible with the requirements of the Regional Aid Guidelines 2007-2013 and in particular with the rules on large investment projects (because Fiat would not increase significantly its production capacity). Therefore the positive impact of this investment on regional development can be considered to outweigh potential distortions of competition.