The aid from the Land of Lower Saxony, resulting from the combined transaction involving the purchase of DM 30 million of the Seeadler factory in Cuxhaven and its immediate lease-back for DM 500 000 per year to the Nordsee company which sold it in autumn 1983, notified to the Commission belatedly by letter of 23 April 1985, was granted in breach of the provisions of Article 93 (3) of the EEC Treaty and is accordingly illegal. It is also incompatible with the common market within the meaning of Article 92 of the Treaty.
Germany is required to annul the transaction referred to in Article 1 or amend its terms in order to establish a relationship between the purchasing and leasing conditions in accordance with commercial practice on the subject.
Germany shall inform the Commission within two months of notification of this Decision of the steps it has taken to comply therewith.
This Decision is addressed to the Federal Republic of Germany.
Done at Brussels, 11 February 1987.
For the Commission
AntΓ³nio CARDOSO E CUNHA
Member of the Commission
(1) OJ No L 379, 31. 12. 1981, p. 1.
(2) OJ No L 202, 25. 7. 1986, p. 1.
(3) OJ No C 227, 7. 9. 1985, p. 2.
(1) OJ No L 51, 23. 2. 1977, p. 1.
(1) Bulletin of the European Communities, No 9-1984, pp. 98 to 100.
(1) OJ No C 268, 19. 10. 1985, p. 2.
