COMMISSION DECISION
of 4 August 2010
on State aid C 40/08 (ex N 163/08) implemented by Poland for PZL Hydral S.A.
(notified under document C(2010) 5406)
(Only the Polish version is authentic)
(Text with EEA relevance)
(2010/690/EU)
I.
PROCEDURE
II.
DESCRIPTION
II.1.
The beneficiaries: PZL Hydral and PZL Wrocław
Date of transfer |
Type of assets |
Method of transfer (sale/in-kind contribution) |
Book value of assets |
30.12.2004 |
fixed assets - movable |
in-kind contribution |
3 917 321,0 |
30.12.2004 |
intangible assets |
in-kind contribution |
801 332,0 |
30.12.2004 |
work in progress |
in-kind contribution |
1 251 352,0 |
30.12.2004 |
materials |
in-kind contribution |
251 719,0 |
30.11.2006 |
fixed assets - movable |
in-kind contribution |
138 516,44 |
30.11.2006 |
materials |
in-kind contribution |
679 915,73 |
30.11.2006 |
fixed assets - movable |
in-kind contribution |
1 186 803,54 |
30.11.2006 |
intangible assets |
in-kind contribution |
290 268,95 |
20.6.2007 |
fixed assets - movable |
sale |
1 250 000,0 |
30.12.2007 |
fixed assets - movable |
in-kind contribution |
1 293 600,0 |
21/23.12.2008 |
work in progress |
sale |
5 230 644,91 |
27.3.2008 |
materials |
sale |
2 985 631,15 |
10.3.2009 |
materials |
sale |
304 294,33 |
Date of transfer |
Type of assets |
Method of transfer (sale/in-kind contribution) |
Book value of assets |
30.12.2007 |
fixed assets – real estate |
in-kind contribution |
8 337 000,0 |
30.12.2007 |
fixed assets – real estate |
sale |
10 309 508,56 |
II.2.
Financial difficulties of PZL Hydral
|
31.12.1998 |
31.12.1999 |
31.12.2000 |
31.12.2001 |
31.12.2002 |
31.12.2003 |
31.12.2004 |
31.12.2005 |
31.12.2006 |
Principal |
44 447 |
48 424 |
51 605 |
49 628 |
37 416 |
39 041 |
38 741 |
38 291 |
35 377 |
Interest |
9 583 |
17 683 |
26 194 |
34 449 |
29 157 |
38 184 |
40 920 |
43 776 |
51 018 |
Total |
54 030 |
66 107 |
77 798 |
84 077 |
66 573 |
77 225 |
79 721 |
82 067 |
86 395 |
|
31.12.1998 |
31.12.1999 |
31.12.2000 |
31.12.2001 |
31.12.2002 |
31.12.2003 |
31.12.2004 |
31.12.2005 |
31.12.2006 |
Principal |
18 571 |
21 986 |
21 959 |
21 127 |
20 741 |
19 825 |
4 000 |
0 |
0 |
Interest |
4 572 |
5 983 |
10 842 |
16 759 |
23 975 |
35 773 |
0 |
0 |
0 |
Total |
23 143 |
27 969 |
32 801 |
37 886 |
44 716 |
55 598 |
4 000 |
0 |
0 |
Year |
1998 |
1999 |
2000 |
2001 |
2002 |
2003 |
2004 |
2005 |
2006 |
2007 |
% |
8,53 |
8,71 |
9,87 |
8,50 |
8,50 |
8,50 |
8,50 |
8,50 |
8,50 |
8,50 |
Year |
1998 |
1999 |
2000 |
2001 |
2002 |
2003 |
2004 |
2005 |
2006 |
2007 |
% |
7,78 |
7,96 |
9,12 |
6,08 |
4,45 |
3,62 |
4,37 |
6,26 |
7,63 |
7,37 |
Rok |
1998 |
1999 |
2000 |
2001 |
2002 |
2003 |
2004 |
2005 |
2006 |
2007 |
% |
34 |
23 |
23 |
30 |
18 |
13 |
12 |
13 |
11,5 |
11,5 |
|
31.12.1998 |
31.12.1999 |
31.12.2000 |
31.12.2001 |
31.12.2002 |
31.12.2003 |
31.12.2004 |
31.12.2005 |
31.12.2006 |
31.12.2007 |
Principal |
20 028 |
27 477 |
35 107 |
42 963 |
47 695 |
55 935 |
62 395 |
69 296 |
74 187 |
74 903 |
Interest |
9 219 |
20 000 |
32 651 |
46 100 |
60 810 |
68 421 |
76 653 |
84 040 |
88 835 |
102 223 |
Total |
29 247 |
47 477 |
67 758 |
89 063 |
108 505 |
124 356 |
139 048 |
153 336 |
163 022 |
177 126 |
|
31.12.1998 |
31.12.1999 |
31.12.2000 |
31.12.2001 |
31.12.2002 |
31.12.2003 |
31.12.2004 |
31.12.2005 |
31.12.2006 |
31.12.2007 |
Principal |
1 700 |
2 700 |
3 656 |
4 750 |
6 198 |
10 928 |
12 471 |
18 655 |
20 769 |
38 946 |
Interest |
750 |
1 100 |
1 500 |
1 950 |
2 900 |
3 200 |
3 800 |
5 347 |
8 450 |
10 553 |
Total |
2 450 |
3 800 |
5 156 |
6 700 |
9 098 |
14 128 |
16 271 |
24 002 |
29 219 |
49 499 |
|
31.12.1998 |
31.12.1999 |
31.12.2000 |
31.12.2001 |
31.12.2002 |
31.12.2003 |
31.12.2004 |
31.12.2005 |
31.12.2006 |
31.12.2007 |
Principal |
0 |
0 |
0 |
0 |
0 |
0 |
0 |
0 |
0 |
0 |
Interest(13) |
0 |
0 |
0 |
0 |
0 |
0 |
532 |
532 |
532 |
532 |
Total |
0 |
0 |
0 |
0 |
0 |
0 |
532 |
532 |
532 |
532 |
|
31.12.1998 |
31.12.1999 |
31.12.2000 |
31.12.2001 |
31.12.2002 |
31.12.2003 |
31.12.2004 |
31.12.2005 |
31.12.2006 |
31.12.2007 |
Principal |
1 682 |
3 058 |
4 510 |
5 972 |
7 556 |
9 404 |
11 299 |
13 180 |
14 465 |
16 389 |
Interest |
1 800 |
2 200 |
3 500 |
5 500 |
7 100 |
7 950 |
8 500 |
9 065 |
9 951 |
10 698 |
Total |
3 482 |
5 258 |
8 010 |
11 472 |
14 656 |
17 354 |
19 799 |
22 245 |
24 416 |
27 087 |
|
31.12.1998 |
31.12.1999 |
31.12.2000 |
31.12.2001 |
31.12.2002 |
31.12.2003 |
31.12.2004 |
31.12.2005 |
31.12.2006 |
31.12.2007 |
Principal |
0 |
15 |
37 |
57 |
76 |
90 |
90 |
90 |
567 |
935 |
Interest |
0 |
2 |
8 |
14 |
21 |
29 |
35 |
40 |
75 |
136 |
Total |
0 |
17 |
45 |
71 |
97 |
119 |
125 |
130 |
642 |
1 071 |
|
31.12.1998 |
31.12.1999 |
31.12.2000 |
31.12.2001 |
31.12.2002 |
31.12.2003 |
31.12.2004 |
31.12.2005 |
31.12.2006 |
31.12.2007 |
Principal |
2 446 |
2 937 |
3 457 |
3 394 |
4 313 |
4 771 |
4 927 |
5 510 |
5 577 |
5 639 |
Interest |
3 550 |
3 900 |
4 100 |
4 308 |
4 807 |
5 080 |
5 518 |
6 040 |
6 898 |
7 245 |
Total |
5 996 |
6 837 |
7 557 |
7 702 |
9 120 |
9 851 |
10 445 |
11 550 |
12 476 |
12 884 |
|
31.12.1998 |
31.12.1999 |
31.12.2000 |
31.12.2001 |
31.12.2002 |
31.12.2003 |
31.12.2004 |
31.12.2005 |
31.12.2006 |
31.12.2007 |
Principal |
8 018,8 |
14 395,5 |
64 717,1 |
64 717,1 |
19 687,7 |
19 646,5 |
19 422,5 |
18 773,1 |
18 260,3 |
18 260,3 |
Interest |
1 372,9 |
2 639,2 |
9 627,6 |
28 741,3 |
0 |
0 |
0 |
0 |
193,7 |
1 117,1 |
Total |
9 391,7 |
17 034,7 |
74 344,7 |
93 458,4 |
19 687,7 |
19 646,5 |
19 422,5 |
18 773,1 |
18 454,0 |
19 377,4 |
Year |
1998 |
1999 |
2000 |
2001 |
2002 |
2003 |
2004 |
2005 |
2006 |
2007 |
2008 |
2009 |
2010 |
% |
50 |
35 |
44 |
40 |
23 |
15 |
15 |
14 |
11 |
12 |
14 |
11 |
10 |
|
Year |
Amount |
Comments |
1 |
1998 |
PLN 21 996 411,92 |
total amount of mortgages |
2 |
1999 |
PLN 21 996 411,92 |
total amount of mortgages |
3 |
2000 |
PLN 21 996 411,92 |
total amount of mortgages |
4 |
2001 |
PLN 28 660 990,95 |
total amount of mortgages a mortgage of PLN 6 664 579,03 was added |
5 |
2002 |
PLN 29 602 956,07 |
total amount of mortgages a mortgage of PLN 941 965,12 was added |
6 |
2003 |
PLN 37 315 430,58 |
total amount of mortgages a mortgage of PLN 7 712 474,51 was added |
7 |
2004 |
PLN 68 984 278,13 |
total amount of mortgages a mortgage of PLN 31 668 847,55 was added |
8 |
2005 |
PLN 82 625 551,83 |
total amount of mortgages a mortgage of PLN 1 364 127,70 was added |
9 |
2006 |
PLN 91 511 663,94 |
total amount of mortgages a mortgage of PLN 8 886 112,11 was added |
10 |
2007 |
PLN 96 153 021,00 |
total amount of mortgages a mortgage of PLN 4 641 357,06 was added |
|
Year |
Amount |
Comments |
1 |
1998 |
— |
— |
2 |
1999 |
— |
— |
3 |
2000 |
— |
— |
4 |
2001 |
— |
— |
5 |
2002 |
— |
— |
6 |
2003 |
— |
— |
7 |
2004 |
— |
— |
8 |
2005 |
PLN 5 692 649,25 |
total amount of mortgages |
9 |
2006 |
PLN 5 692 649,25 |
total amount of mortgages |
10 |
2007 |
PLN 5 692 649,25 |
total amount of mortgages |
|
Year |
Amount |
Comments |
1 |
1998 |
— |
— |
2 |
1999 |
— |
— |
3 |
2000 |
PLN 112 759,61 |
total amount of mortgages |
4 |
2001 |
PLN 212 138,61 |
total amount of mortgages a mortgage of PLN 99 379,00 was added |
5 |
2002 |
PLN 212 138,61 |
total amount of mortgages |
6 |
2003 |
PLN 212 138,61 |
total amount of mortgages |
7 |
2004 |
PLN 212 138,61 |
total amount of mortgages |
8 |
2005 |
PLN 212 138,61 |
total amount of mortgages |
9 |
2006 |
PLN 212 138,61 |
total amount of mortgages |
10 |
2007 |
PLN 212 138,61 |
total amount of mortgages |
|
Year |
Amount |
Comments |
1 |
1998 |
PLN 710 074,30 |
total amount of mortgages |
2 |
1999 |
PLN 710 074,30 |
total amount of mortgages |
3 |
2000 |
PLN 710 074,30 |
total amount of mortgages |
4 |
2001 |
PLN 945 962,80 |
total amount of mortgages a mortgage of PLN 235 888,50 was added |
5 |
2002 |
PLN 2 119 622,40 |
total amount of mortgages a mortgage of PLN 1 173 659,60 was added |
6 |
2003 |
PLN 2 119 622,40 |
total amount of mortgages |
7 |
2004 |
PLN 11 217 294,85 |
total amount of mortgages a mortgage of PLN 9 097 672,45 was added |
8 |
2005 |
PLN 11 217 294,85 |
total amount of mortgages |
9 |
2006 |
PLN 12 589 452,85 |
total amount of mortgages a mortgage of PLN 3 538 324,00 was added |
10 |
2007 |
PLN 15 379 758,25 |
total amount of mortgages a mortgage of PLN 2 790 305,40 was added |
|
Year |
Amount |
Comments |
1 |
1998 |
— |
— |
2 |
1999 |
— |
— |
3 |
2000 |
— |
— |
4 |
2001 |
— |
— |
5 |
2002 |
PLN 634 594,10 |
total amount of mortgages |
6 |
2003 |
PLN 634 594,10 |
total amount of mortgages |
7 |
2004 |
PLN 634 594,10 |
total amount of mortgages |
8 |
2005 |
PLN 634 594,10 |
total amount of mortgages |
9 |
2006 |
PLN 634 594,10 |
total amount of mortgages |
10 |
2007 |
PLN 634 594,10 |
total amount of mortgages |
|
Year |
Repaid public liabilities |
1 |
1998 |
PLN 206 349,90 |
2 |
1999 |
PLN 0,00 |
3 |
2000 |
PLN 674 100,75 |
4 |
2001 |
PLN 4 922 525,14 |
5 |
2002 |
PLN 3 209 042,05 |
6 |
2003 |
PLN 223 928,70 |
7 |
2004 |
PLN 1 960 765,69 |
8 |
2005 |
PLN 3 641 223,35 |
9 |
2006 |
PLN 4 472 476,92 |
10 |
2007 |
PLN 9 455 133,89 |
11 |
2008 |
PLN 54 590 790,45 |
12 |
2009 |
PLN 4 500 000 |
Total |
|
PLN 87 846 336,84 |
II.3.
PZL Hydral as a company in difficulty
|
1998 |
1999 |
2000 |
2001 |
2002 |
2003 |
2004 |
2005 |
2006 |
2007 |
2008 |
2009 |
Revenue from net sales |
44 088 |
46 403 |
45 691 |
37 933 |
35 500 |
37 111 |
34 651 |
47 560 |
48 618 |
55 741 |
32 757 |
11 870 |
Profit (loss) on sales |
(10 839) |
(1 546) |
2 004 |
(8 772) |
(10 005) |
(9 420) |
(6 857) |
972 |
49 |
3 641 |
(6 454) |
(165 020) |
Net profit (loss)(15) |
(13 661) |
(13 354) |
217 |
18,473 |
49,346 |
(177 982) |
(48 151) |
(14 927) |
(1 076) |
61 578 |
23 902 |
46 |
Total assets |
203 936 |
212 834 |
228 344 |
250 115 |
192 013 |
113 255 |
86 966 |
92 011 |
76 986 |
111 051 |
35 661 |
30 617 |
Shareholder's (negative) equity |
9 707 |
3 078 |
268 |
18 440 |
15 074 |
(166 664) |
(214 815) |
(229 743) |
(250 500) |
(188 922) |
(165 020) |
(164 974) |
Long term liabilities and reserves |
194 231 |
209 756 |
228 075 |
231 675 |
176 939 |
279 920 |
301 781 |
321 753 |
327 486 |
299 973 |
200 681 |
195 592 |
II.4.
PZL Wrocław as a company in difficulty
II.5.
The restructuring plan and the privatisation process
Year |
2007 |
2008 |
2009 |
2010 |
2011 |
Moderate scenario |
|||||
Cash flow |
[…] |
[…] |
[…] |
[…] |
[…] |
Net profit |
[…] |
[…] |
[…] |
[…] |
[…] |
Depreciation |
[…] |
[…] |
[…] |
[…] |
[…] |
Net profit + depreciation |
[…] |
[…] |
[…] |
[…] |
[…] |
Optimistic scenario |
|||||
Cash flow |
[…] |
[…] |
[…] |
[…] |
[…] |
Net profit |
[…] |
[…] |
[…] |
[…] |
[…] |
Depreciation |
[…] |
[…] |
[…] |
[…] |
[…] |
Net profit + depreciation |
[…] |
[…] |
[…] |
[…] |
[…] |
Pessimistic scenario |
|||||
Cash flow |
[…] |
[…] |
[…] |
[…] |
[…] |
Net profit |
[…] |
[…] |
[…] |
[…] |
[…] |
Depreciation |
[…] |
[…] |
[…] |
[…] |
[…] |
Net profit + depreciation |
[…] |
[…] |
[…] |
[…] |
[…] |
Year |
2008 |
2009 |
2010 |
2011 |
2012 |
2013 |
Cost of own capital (%) |
16,65 |
16,65 |
16,65 |
16,65 |
16,65 |
16,65 |
Future cash flow estimates |
[…] |
[…] |
[…] |
[…] |
[…] |
[…] |
Discounted future cash flow estimates |
[…] |
[…] |
[…] |
[…] |
[…] |
[…] |
|
Book value |
Net asset value |
Fixed assets |
25 710 |
[…] |
Current assets |
9 945 |
[…] |
Liabilities |
18 350 |
[…] |
Off-balance sheet assets |
0 |
[…] |
Total |
17 305 |
[…] |
II.6.
Legal assessment of the Plan by the Polish authorities
III.
DOUBTS EXPRESSED BY THE COMMISSION WHEN OPENING AND EXTENDING THE FORMAL INVESTIGATION PROCEDURE
IV.
COMMENTS OF POLAND ON THE OPENING OF THE FORMAL INVESTIGATION PROCEDURE
V.
THIRD PARTY COMMENTS
VI.
EVENTS FOLLOWING THE OPENING OF THE FORMAL INVESTIGATION PROCEDURE - THE REVISED PLAN
Public creditor |
Total amount of liabilities(33) |
Proceeds in bankruptcy scenario |
Proceeds in sale of assets scenario |
Social Insurance Fund |
192 427 569,63 |
58 326 475,00 |
91 857 554,58 |
Lower Silesia Region Tax Office |
59 579 407,58 |
2 294 047,11 |
18 250 999,45 |
Wrocław – Psie Pole Tax Office |
532 432,60 |
456 768,68 |
456 800,00 |
Wrocław City Council |
27 087 078,25 |
4 928 184,34 |
4 930 000,00 |
State Fund for the Rehabilitation of the Disabled |
12 884 457,46 |
— |
5 007 169,46 |
Lower Silesian Regional Office |
1 320 678,82 |
— |
1 320 678,82 |
Ministry of Finance |
24 050 232,71 |
— |
500 000,00 |
Total |
317 881 857,5 |
66 005 475,13 |
122 323 202,31 |