COMMISSION DECISION
of 2 July 2008
on the measures C 16/04 (ex NN 29/04, CP 71/02 and CP 133/05) implemented by Greece in favour of Hellenic Shipyards
(notified under document C(2008) 3118)
(Only the Greek text is authentic)
(Text with EEA relevance)
(2009/610/EC)
1.
PROCEDURE
2.
PRIOR DECISIONS OF THE COMMISSION AND OF THE COUNCIL
3.
ASSESSMENT OF HORIZONTAL ISSUES
3.1.
Horizontal issue 1: Creditworthiness and access to the financial market between 1997 and 2002
3.1.1.
Situation in 1997
(EUR millions) |
|||||||||
|
1997 |
1998 |
1999 |
2000 |
2001 |
2002 |
2003(27) |
2004 |
2005 |
Share capital |
86 |
91 |
92 |
95 |
65 |
106 |
106 |
121 |
121 |
Net Equity |
82 |
88 |
54 |
17 |
–4 |
–78 |
–83 |
– 111 |
– 182 |
Turnover |
74 |
83 |
30 |
59 |
55 |
89 |
112 |
130 |
198 |
Profit |
7 |
1 |
–36 |
–42 |
–21 |
– 115 |
–1 |
–45 |
–71 |
3.1.2.
Evolution from 1997
3.1.3.
Intra-group analysis
3.2.
Horizontal issue 2: Imputability of ETVA’s behaviour to the State
3.3.
Horizontal issue 3: aid measures partially financing the military activities of HSY
4.
THE MEASURES: DESCRIPTION, GROUNDS FOR INITIATING THE PROCEDURE, COMMENTS RECEIVED, ASSESSMENT AND CONCLUSION
4.1.
Misuse of the investment aid endorsed in 1997 (measure P1)
4.1.1.
Description of the measure
4.1.2.
Grounds for initiating the procedure
4.1.3.
Comments from interested parties
4.1.4.
Comments from Greece
4.1.5.
Assessment
4.1.5.1.
Article 296 of the Treaty
4.1.5.2.
Existence of a misuse of the aid
4.2.
GRD 4,67 billion (EUR 13,72 million) loan granted in 1999 and covered by a State guarantee (measure P2)
4.2.1.
Description of the measure
4.2.2.
Grounds for initiating the procedure
4.2.3.
Comments from interested parties
4.2.4.
Comments from Greece
4.2.5.
Assessment
4.2.5.1.
Article 296 of the Treaty
4.2.5.2.
Existence of aid
4.2.5.3.
Compatibility of the aid
4.3.
GRD 1,56 billion (EUR 4,58 million) loan granted in 1999 (measure P3)
4.3.1.
Description of the measure
4.3.2.
Grounds for initiating the procedure
4.3.3.
Comments from interested parties
4.3.4.
Comments from Greece
4.3.5.
Assessment
4.3.5.1.
Article 296 of the Treaty
4.3.5.2.
Existence of aid
4.3.5.3.
Compatibility of the aid
4.4.
EUR 13,75 million loan granted in 2002 (measure P4)
4.4.1.
Description of the measure
4.4.2.
Grounds for initiating the procedure
4.4.3.
Comments from interested parties
4.4.4.
Comments from Greece
4.4.5.
Assessment
4.4.5.1.
Article 296 of the Treaty
4.4.5.2.
Existence of aid
4.5.
Misuse of the GRD 54 billion (EUR 160 million) aid authorised in 1997 (measure E7)
4.5.1.
Description of the measure
4.5.2.
Grounds for initiating the procedure
4.5.3.
Comments from interested parties
4.5.4.
Comments from Greece
4.5.5.
Assessment
4.5.5.1.
Article 296 of the Treaty
4.5.5.2.
Implementation of the investment plan
4.5.5.3.
Prohibition of ‘further operating aid for restructuring purposes’
4.5.5.4.
Non payment of the purchase price
4.5.5.5.
Justification for the procedural choice of the Commission
4.6.
Misuse of the EUR 29,5 million closure aid authorised in 2002 (measure E8)
4.6.1.
Description of the measure
4.6.2.
Grounds for initiating the procedure
4.6.3.
Comments from interested parties
4.6.4.
Comments from Greece
|
1.1.2002–31.12.2002 |
1.1.2003–30.9.2003 |
1.10.2003–30.9.2004 |
1.10.2004–30.9.2005 |
1.10.2005–31.8.2006 |
||
|
51 995 |
42 155 |
[…](112) |
[…] |
[…] |
||
|
3 798 728 |
16 471 322 |
[…] |
[…] |
[…] (until 30.6.2006) |
||
|
2 469 173 |
10 179 134 |
[…] |
[…] |
[…] |
||
|
25,97 |
27,49 |
[…] |
[…] |
[…] |
||
|
95 077 |
370 284 |
[…] |
[…] |
[…] |
||
|
147 073 |
412 440 |
[…] |
[…] |
[…] |
4.6.5.
Assessment
4.6.5.1.
Article 296 of the Treaty
4.6.5.2.
Existence of a misuse of the aid
4.7.
Capital injection of GRD 8,72 billion (EUR 25,6 million) by the Greek State or ETVA in 1996–1997 (measure E9)
4.7.1.
Description of the measure
4.7.2.
Grounds for initiating the procedure
4.7.3.
Comments from interested parties
4.7.4.
Comments from Greece
4.7.5.
Assessment
4.7.5.1.
Article 296 of the Treaty
4.7.5.2.
Existence of aid
4.7.5.3.
Compatibility with the common market
4.8.
Capital increase in 1998–2000 to finance the investment plan (measure E10)
4.8.1.
Description of the measure
(million GRD (million EUR)) |
|||
|
Total |
Contribution of ETVA (51 %) |
Contribution of the employees (49 %) |
20 May 1998 |
1 569 (4,6) |
800 (2,3) |
769 (2,3) |
24 June 1999 |
630 (1,8) |
321 (0,9) |
309 (0,9) |
22 May 2000 |
780 (2,3) |
397 (1,2) |
382 (1,1) |
4.8.2.
Grounds for initiating the procedure
4.8.3.
Comments from interested parties
4.8.4.
Comments from Greece
4.8.5.
Assessment
4.8.5.1.
Article 296 of the Treaty
4.8.5.2.
Existence of aid
4.8.5.3.
Compatibility with the common market
4.9.
State counter guarantee in relation to HSY’s contracts with OSE and ISAP (measure E12b)
4.9.1.
Description of the measure
4.9.2.
Grounds for initiating the procedure
4.9.3.
Comments from interested parties
4.9.4.
Comments from Greece
4.9.5.
Assessment
4.9.5.1.
Article 296 of the Treaty
4.9.5.2.
Existence of aid
4.9.5.3.
Compatibility with the common market
4.10.
Deferment/rescheduling of obligations and waiver of penalties owed to OSE and ISAP (measure E12c)
4.10.1.
Description of the measure
4.10.2.
Grounds for initiating the procedure
4.10.3.
Comments from interested parties
4.10.4.
Comments from Greece
4.10.5.
Assessment
4.10.5.1.
Article 296 of the Treaty
4.10.5.2.
Existence of aid
4.11.
Loan of ETVA to finance the Strintzis contract (measure E13a)
4.11.1.
Description of the measure
4.11.2.
Grounds for initiating the procedure
4.11.3.
Comments from interested parties
4.11.4.
Comments from Greece
4.11.5.
Assessment
4.11.5.1.
Article 296 of the Treaty
4.11.5.2.
Existence of aid
4.11.5.3.
Compatibility with the common market
4.12.
Guarantee of ETVA in relation to the Strintzis contract (measure E13b)
4.12.1.
Description of the measure
4.12.2.
Grounds for initiating the procedure
4.12.3.
Comments from interested parties
4.12.4.
Comments from Greece
4.12.5.
Assessment
4.12.5.1.
Article 296 of the Treaty
4.12.5.2.
Existence of aid
4.12.5.3.
Compatibility with the common market
4.13.
State guarantee securing a GRD 10 billion (EUR 29,3 million) loan (measure E14)
4.13.1.
Description of the measure
4.13.2.
Grounds for initiating the procedure
4.13.3.
Comments from interested parties
4.13.4.
Comments from Greece
4.13.5.
Assessment
4.13.5.1.
Article 296 of the Treaty
4.13.5.2.
Existence of aid
4.13.5.3.
Compatibility with the common market
4.14.
Loans granted by ETVA in 1997 and 1998 (measure E16)
4.14.1.
Description of the measure
4.14.2.
Grounds for initiating the procedure
4.14.3.
Comments from interested parties
4.14.4.
Comments from Greece
4.14.5.
Assessment
4.14.5.1.
Article 296 of the Treaty
4.14.5.2.
Existence of aid
4.14.5.3.
Compatibility with the common market
4.15.
Cross-subsidisation between military and civil activities until 2001 (measure E17)
4.15.1.
Description of the measure
4.15.2.
Grounds for initiating the procedure
4.15.3.
Comments from interested parties
4.15.4.
Comments from Greece
4.15.5.
Assessment
4.15.5.1.
Article 296 of the Treaty
4.15.5.2.
Existence of aid
4.15.5.3.
Compatibility with the common market
4.16.
Indemnifying clause in favour of HDW/Ferrostaal in the case where aid would be recovered from HSY (measure E18c)
4.16.1.
Description of the measure
4.16.2.
Grounds for initiating the procedure
4.16.3.
Comments from interested parties
4.16.4.
Comments from Greece
4.16.5.
Assessment
4.16.5.1.
Article 296 of the Treaty
4.16.5.2.
Existence of aid
4.16.5.3.
Compatibility with the common market
4.16.5.4.
Per se prohibition of the guarantee
5.
CONCLUSION
5.1.
Necessity to ensure that the reimbursement of the aid, which has benefited the civil activities of HSY, is not partially financed by the military activities
Article 1
Article 2
Article 3
Article 4
Article 5
Article 6
Article 7
Article 8
Article 9
Article 10
Article 11
Article 12
Article 13
Article 14
Article 15
Article 16
Article 17
Article 18
Article 19
Article 20
(EUR) |
||
Year |
Direct |
Including profit (15 %) and indirect costs (20 %), following the methodology included in annex 6 of Greece’s submission |
2002 |
25,97 |
40 |
2003 |
27,49 |
42,3 |
2004 |
[…] |
[…] |
2005 |
[…] |
[…] |
2006 |
[…] |
[…] |
INDEX: Invlci-tot |
2002 |
2003 (9 m) |
2004 |
2005 |
2006 |
EU 27 index |
108,9 |
112,8 |
116,5 |
119,7 |
121,6 |
Greece index |
113,5 |
116,6 |
127,0 |
127,7 |
133,9 |
Balance of contracted labour |
3 804 891 |
16 471 323 |
[…] |
[…] |
[…] |
Consultant estimate |
|||||
Manhour cost (min value) |
25,4 |
26,1 |
28,5 |
28,6 |
30 |
Subcontractor’s direct Manhours (max estimate) |
149 598 |
630 388 |
[…] |
[…] |
[…] |
Consultant estimate |
|||||
Manhour cost (max value) |
30,5 |
31,4 |
34,2 |
34,3 |
36 |
Subcontractor’s direct Manhours (min estimate) |
124 665 |
525 324 |
[…] |
[…] |
[…] |
Hellenic shipyard figures |
|||||
Manhour cost |
25,97 |
27,49 |
[…] |
[…] |
[…] |
Manhour cost + indirect + profit |
40,0 |
44,5 |
[…] |
[…] |
[…] |
Subcontractor’s direct Manhours |
95 232 |
370 142 |
[…] |
[…] |
[…]’ |