The aid granted by Germany to SKET Verseilmaschinenbau GmbH comprising:
(a) the payment to the company by way of provision of capital (DEM 5000000)
(b) the loan in respect of the cable machine operation and the waiver of repayment thereof (DEM 500000)
(c) the loan to finance performance of contracts and the waiver of repayment thereof (DEM 1000000)
(d) the payment in respect of the final phase of restructuring (DEM 1750000)
(e) the performance guarantee by the BvS (DEM 6700000) subsequently taken over by the investor in April 1998
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.
In accordance with the Community guidelines on State aid for rescuing and restructuring firms in difficulty (1994), Germany shall submit a detailed annual report on the implementation of the restructuring plan.
This Decision is addressed to the Federal Republic of Germany.
Done at Brussels, 30 September 1998.
For the Commission
Karel Van Miert
Member of the Commission
(1) OJ C 215, 19.8.1995, p. 8 andOJ C 298, 9.10.1996, p. 2.
(2) OJ C 298, 9.10.1996, p. 2.
(3) OJ L 314, 8.11.1997, p. 20.
(4) OJ C 83, 18.3.1998, p. 10.
(5) On the state of the general machine manufacturing sector, see Panorama of EU Industry 1997, Volume 2, pages 13-23 to 13-29.
(6) Intra-Community trade exceeds trade with third countries, see Panorama of EU Industry 1997, Volume 2, page 15-5.
(7) On the state of the market for cable and wire, see Panorama of EU Industry 1997, Volume 2, pages 15-3 to 15-7 and 15-4 to 15-17.
(8) State aid case number NN 67/97.
(9) State aid case number C 69/97
(10) State aid case number C 70/97
(11) State aid case number NN 125/97
(12) Aid to this firm was approved by the Commission in May 1998 (Case number NN 126/97).
(13) Business secret.
(14) OJ C 368, 23.12.1994, p. 12.
(15) See State aid case N 464/93.
(16) See Section 3.2.3 of the Guidelines.
(17) See Panorama of EU Industry 1997, Volume 2, pages 13-23 to 13-29 in conjunction with pages 15-3 to 15-7 and 15-4 to 15-17.
(18) See Panorama of EU Industry 1997, Volume 2, pages 15-14 to 15-17.
