The European Commission Could Veto the Planned Merger of Lufthansa and the Italian State Airline ITA Airways. According to a report by news agency Reuters, the airlines would have to make significant concessions to ensure competition and substantially improve their current proposals.

The submitted remedial measures were not sufficient to dispel the concerns of the Brussels authority regarding Lufthansa's takeover of ITA, insiders report. Neither a spokesperson for Lufthansa nor the EU Commission wanted to comment on the ongoing negotiations to Reuters. On Friday, initially no one could be reached for a statement at the airline and the Commission.

By May 19th, the EU Commission aims to gather assessments from competitors, consumer advocates, and other stakeholders as part of a so-called market test. A final decision is expected by July 4th.

The Lufthansa stock traded unchanged at 6.72 euros in XETRA trading.