Flughafen Wien probed on terminal cost overrun

VIENNA, July 17 (Reuters) - Austrian financial watchdog FMA is investigating whether Vienna Airport operator Flughafen Wien (VIEV.VI) failed to disclose to shareholders cost overruns at its new Skylink terminal, Flughafen said on Friday.

The operator said in a statement that it would cooperate with FMA and was itself interested in resolving all concerns about the issue. It added that it believed all disclosure requirements were observed.

The operator said in April the new terminal would cost up to 894 million euros ($1.3 billion), a quarter more than previously expected. The budget had already been increased several times in the years before, from an initial budget of 400 million euros.

Austria's audit court said last week it would also probe the cost overruns. Flughafen Wien is controlled by the city of Vienna and the state of Lower Austria, which between them own 40 percent of the operator. ($1=.7089 Euro) (Reporting by Boris Groendahl; Editing by Jon Loades-Carter)