This Decision is addressed to the Federal Republic of Germany.
Done at Brussels, 20 July 1999.
For the Commission
Mario MONTI
Member of the Commission
(1) OJ C 192, 24.6.1997, p. 11.
(2) OJ C 192, 24.6.1997, p. 11.
(3) OJ C 387, 12.12.1998, p. 4.
(4) The unemployment rate in the region concerned is 22,1 %. If the secondary employment market is also included, this figure is 6,1 % higher.
(5) OJ C 213, 27.7.1996, p. 4.
(6) The information received in November 1998 contradicts this, referring to a reduction of the working week from 168 hours to 144 hours.
(7) The company's publicity material contained in the brochure "Innovation TEXTIL Oberlausitz" gives an annual output of 9 million metres. It should also be noted that the Lautex website at http://www.erba-lautex.de/engFrame.htm gives a capacity of 10 million metres.
(8) At a meeting in Brussels on 2 March 1999, the German representatives were made aware of the lack of precise information concerning the overall costs of the restructuring and were informed that the Commission would be calculating them on the basis of the tables contained in the letter of 27 November 1998. The information subsequently submitted referred on this point to the letter of 9 December 1998; however, that letter contained no information on this subject.
(9) Assuming that the present restructuring of Lautex started in 1995.
(10) See below: "Restoration of long-term viability".
(11) According to the letter of 27 November 1998, losses amount to DEM 5,202 million. No explanation has been given as to why this loan exceeds losses by DEM 7,498 million.
(12) No information was provided on these bank liabilities. It is not clear whether the discharge relates to private or public bank liabilities.
(13) These waivers relate to measures implemented since 1991.
(14) In particular grants of DEM 0,531 million for the 1996 redundancy programme.
(15) These loans were paid in instalments throughout 1996.
(16) DEM 0,313 million in 1992, DEM 0,175 million in 1993, DEM 0,82 million in 1994 and DEM 0,448 million in 1995.
(17) See letter of September 1997.
(18) See "Business trends survey", August 1996, European Observatory for Textiles and Clothing; "Textile Outlook International: Asian crisis - the impacts spread far and wide", Economist Intelligence Unit (1 July 1998).
(19) See "World Textile Fibers to 2001", Freedonia Industry and Business Research Studies, The Freedonia Group Inc., Ohio, USA.
(20) See "Panorama of EU Industry 97", European Commission, report prepared by the European Observatory for Textiles and Clothing. NACE (Revision 1) 17, Vol. I, 4-17 to 4-23.
(21) See "Textile Outlook International: World", Economist Intelligence Unit, 1 July 1998.
(22) OJ C 368, 23.12.1994, p. 12.
(23) See footnote 2.
(24) OJ L 83, 27.3.1999, p. 1.
(25) SG(91) D/175825, 26 September 1991.
(26) Treuhand scheme NN 108/91 covers loans and guarantees granted by the Treuhand to firms undergoing privatisation.
(27) SG(92) D/17613, 8 December 1992.
(28) See point 3 of Treuhand scheme E 15/92, which provides that the granting of loans and guarantees has to be notified if the firm employs more than 1500 workers and the total commitment (Gesamtobligo) exceeds DEM 150 million. The aid measures fall within the limits laid down in the scheme and were thus covered by it.
(29) SG(95) D/1062, 1 February 1995.
(30) Treuhand scheme N 768/94 states that all loans in excess of DEM 50 million which are granted to firms with over 250 employees must be notified to the Commission.
(31) Measures under this Law qualify as regional investment aid in accordance with Article 87(1) of the EC Treaty and were approved by the Commission as a derogation from Article 87(3)(a) of the EC Treaty (approved aid scheme N 494/A/95).
(32) No information was presented as to whether these were private or public funds or as to what purpose was served by the liabilities discharged on privatisation.
(33) The loans of DEM 75,176 million granted in 1991 and of DEM 16,527 million granted in 1994 are covered by Treuhand schemes. Since the Commission has no knowledge of guarantees granted outside the Treuhand schemes, the waiver of claims from a guarantee clearly relates to the guarantee assumed under Treuhand scheme E 15/92.
(34) The Commission notes that the financial measures designed to cover overall restructuring costs, which are contained in a table submitted on 27 November 1998, exceed the total amount of aid indicated as having been granted to Lautex plus the investors' contribution, which is given as DEM 6 million in the table. Since no explanation was provided on whether these measures were financed from public or private sources, the Commission cannot discount the possibility that Lautex may have benefited from additional aid.
(35) See Commission decision on Case N 464/93.
(36) For example, the information on the development of capacity, the transfer of plant and machinery to Lautex from Erba GmbH and the description of Lautex as an outward processor has been changed on several occasions.
(37) The most recent consolidated figures relate to 1997.
(38) The Commission notes that in two recent decisions (Rawe GmbH & Co., N 394/98, and Palla Creativ Textiltechnik GmbH, NN 57/98) it reached the negative conclusion that it did not have evidence that the textile market was in overcapacity. However, in those cases both firms had carried out capacity reductions, so that it was not necessary to make a positive evaluation of the state of the market.
(39) OJ C 107, 7.4.1998, p. 7.
(40) The information on Lautex's losses does not tally with the figures contained in the table submitted on 27 November 1998. A further discrepancy exists between the debt-servicing data and the statement that Lautex's financial liabilities were either taken over by the BvS or waived upon privatisation.
(41) According to the letter dated 27 November 1998, the loan is payable in four instalments: DEM 8,9 million on 31 December 1997, DEM 8 million by 30 June 1998, DEM 8 million by 31 December 1998 and DEM 6 million by 30 June 1999.
(42) The discharge of bank liabilities totalling DEM 22,389 million has no effect on liquidity.
