EU approves UK cash advance to Bombardier unit

BRUSSELS, June 18 (Reuters) - EU regulators have authorised a repayable cash advance of 113.7 million pounds ($186.4 million) that Britain plans to give Short Brothers, a unit of Bombardier (BBDb.TO), the European Commission said on Thursday.
The advance, which Short Brothers -- owned 100 percent by civil aircraft manufacturer Bombardier -- will use to develop composite wings for Bombardier's new CSeries aircraft, would have only a limited impact on competition, the Commission said.
It would be reimbursed to the British government in the form of a fixed levy linked to aircraft sales, depending on the successful outcome of the research and development project.
Bombardier Aerospace is relaunching the CSeries project, which develops a new family of commercial aircraft in the 110-130 seat range.
The aim was to develop an aircraft emitting 20 percent less carbon dioxide and 50 percent less nitrogen oxide, while significantly reducing aircraft noise by flying four times quieter, the Commission said in a statement. (Reporting by Jeremy Smith, editing by Dale Hudson)