1999/225/EC: Commission Decision of 13 May 1998 on aid granted by Germany to Herborn und Breitenbach GmbH (ex- Drahtziehmaschinenwerk Grüna GmbH) (notified under document number C(1998) 1687) (Only the German text is authentic) (Text with EEA relevance)

• Articles: 3

Article 1

The State restructuring aid granted to Drahtziehmaschinenwerk Grüna GmbH, now Herborn & Breitenbach GmbH, Chemnitz, is compatible with the common market in accordance with Article 92(3)(c) of the EC Treaty and Article 61(3)(c) of the EEA Agreement. The aid concerned comprises:

(a) the special-purpose allocations for financing the redundancy programme (DEM 1,4 million);

(b) the waived claims relating to equalisation payments from 1993, (DEM 4,6 million, plus DEM 0,9 million in interest);

(c) the shareholder loans granted in 1996 and subsequently converted into non-repayable grants (DEM 7,8 million);

(d) the loan converted into a grant and the non-repayable grants (totalling DEM 7 million);

(e) the assumption of possible tax liabilities (DEM 0,3 million);

(f) the provision of guarantees (DEM 15 million), of which DEM 3,3 million has actually been called prior to their assumption by the investor.

Article 2

In accordance with the Community Guidelines on State aid for rescuing and restructuring firms in difficulty (1994), Germany shall submit a detailed report every year on the implementation of the restructuring plan.

Article 3

This Decision is addressed to the Federal Republic of Germany.

Done at Brussels, 13 May 1998.

For the Commission

Karel VAN MIERT

Member of the Commission

(1) OJ C 215, 19. 8. 1995, p. 8.

(2) OJ C 215, 19. 8. 1995, p. 8 and OJ C 298, 9. 10. 1996, p. 2.

(3) OJ C 298, 9. 10. 1996, p. 2.

(4) OJ L 314, 18. 11. 1997, p. 20.

(5) See the Twenty-third Report on Competition Policy, 1993, points 402-3.

(6) Parts of this text have been edited to ensure that confidential information is not disclosed; those parts are enclosed in square brackets and marked with an asterisk.

(7) See footnotes 1 and 2

(8) OJ C 368, 23. 12. 1994, p. 12.

(9) See Panorama of EU Industry, 1997, vol. 2.