Kroes en staatssecretaris Koch-Weser bespreken Duitse staatssteun aan Landesbanken (en)
European Competition Commissioner Neelie Kroes met German State Secretary Caio Koch-Weser and a delegation of Länder Ministers and Landesbanken representatives in Brussels on 18th January to discuss the implementation of the Commission's 20th October state aid decision (see IP/04/1261) concerning Landesbanken and the Commission's assessment under state aid rules of the recapitalisation of Landesbanken.
Commissioner Kroes indicated that, unless all the necessary information is made available in the forthcoming weeks, she would not be able to take her final view on the application of the market economy investor principle (MEIP) before the end of July. State Secretary Koch-Weser confirmed that full recovery in cash of previous incompatible state aid will take place by 21st January and that the remaining information (business plans) the Commission needs to undertake its assessment will be sent to the Commission.
Commissioner Kroes made clear that the Commission's assessment of the recapitalisation under the MEIP would be contingent upon an examination of underlying long term profitability of the banks. In addition other factors will have an influence on the examination of the operation under the MEIP and over the final decision, in particular the time span of the investment from the recovery of the aid, given the phasing-out of `Anstaltslast' and `Gewährträgerhaftung', and the determination of the amount of the capital in relation with the banks' profitability. The injection of capital by private investors alongside public investors will be regarded by the Commission as a positive indication that the investment complies with the market economy investor principle and will accelerate the Commission's assessment.