Air Malta had a shockingly good (and cheap!) business class product, I kinda hope this will be the same on KM. Upcharge can be as little as 30-50€, which is worth the usual perks alone, and on top of that food is absolutely awesome and crews very proactive with refills. I can't wrap my head around governments willingly pouring money into black holes called "national carriers" when there's plenty of other airlines willing to cover the market, but I guess if it means their taxpayers subsidize my journeys, why not 🙂
Also a small note about semantics: "Malta asked European Union" is a bit of a nonsense, since Malta is part of the EU so they would be asking themselves. You wouldn't say that New York asked United States for something, but rather that it asked the federal government or whatever institution. Same applies here, I assume the request went to EC (the executive body of the EU, equivalent of the US federal government).