COMMISSION DECISION
of 7 July 2004
on the aid measures implemented by France for Alstom
(notified under document number C(2004) 2532)
(Only the French version is authentic)
(Text with EEA relevance)
(2005/418/EC)
I. PROCEDURE
II. DESCRIPTION
1. The Alstom group
(turnover and operating resulting in EUR million) |
||||
|
2000/2001 |
2001/2002 |
2002/2003 |
2003/2004 |
Annual turnover |
24 550 |
23 453 |
21 351 |
16 688 |
Operating result |
1 151 |
941 |
(507) |
300 |
of which Power |
448 |
572 |
(690) |
178 |
T&D |
275 |
226 |
227 |
136 |
Transport |
266 |
101 |
(24) |
64 |
Marine |
80 |
47 |
24 |
(19) |
Corporate |
(41) |
(35) |
(44) |
(59) |
Employees |
143 014 |
118 995 |
109 671 |
78 811 |
2. Alstom’s difficulties before the restructuring plan
3. The restructuring plan
|
Workforce reductions (persons) |
Restructuring costs (EUR million) |
Expected savings (EUR million) |
Power Environment |
[…] |
[…] |
[…] |
Power Turbo-Systems |
[…] |
[…] |
[…] |
Power Conversion |
[…] |
[…] |
[…] |
T&D |
|
[…] |
|
Power Services + IST |
[…] |
[…] |
[…] |
Transport |
[…] |
[…] |
[…] |
Marine |
[…] |
[…] |
[…] |
Corporate |
[…] |
[…] |
[…] |
Total |
[…] |
[…](7) |
[…] |
(EUR billion) |
||
Measure |
Banks/Investors |
State commitments(9) |
Capital increase I |
0,30 |
— |
TSDDRA (measure 1) |
— |
0,30 |
Short-term liquidity (measure 2) |
0,30 |
1,20 |
Bonding facility of EUR 3.5 billion (measure 3) |
3,5 |
Counter-guarantees of 65 %, i.e. 2,275 |
PSDD (measure 4) |
1,20 |
Guarantee for the CFDI in respect of 0,30 |
TSDD (measure 5) |
— |
0,20 |
ORA |
0,90 |
— |
(EUR billion) |
||
Measure |
Banks/Investors |
State commitments |
Capital increase I |
0,30 |
— |
TSDDRA (measure 1) |
— |
0,30 |
Short-term liquidity (measure 2) |
0,30 |
120 |
Bonding facility of EUR 8 billion (measure 3) |
8 |
Second-loss guarantee, 1.25 |
PSDD to be converted into capital (measure 4) |
1,20 |
0,30 |
TSDD to be converted into capital (measure 5) |
— |
0,20 |
ORA |
0,90 |
— |
Capital increase II (measure 6) |
0,83/0,99 |
0,17/0,22 |
(EUR billion) |
||||
Financial year |
2002/2003 |
2003/2004 |
2004/2005 |
2005/2006 |
Orders received |
19,123 |
[↘](10) |
[↗] |
[↗] |
Industrial turbines |
[…] |
[…] |
[…] |
[…] |
Power — environment |
[…] |
[…] |
[…] |
[…] |
Power — turbo-systems |
[…] |
[…] |
[…] |
[…] |
Power — services |
[…] |
[…] |
[…] |
[…] |
T&D (power conversion included) |
[…] |
[…] |
[…] |
[…] |
Transport |
[…] |
[…] |
[…] |
[…] |
Marine |
[…] |
[…] |
[…] |
[…] |
Corporate and others |
[…] |
[…] |
[…] |
[…] |
Buffer |
[…] |
[…] |
[…] |
[…] |
Sales |
21,351 |
[↘] |
[↘] |
[↗] |
Industrial turbines |
[…] |
[…] |
[…] |
[…] |
Power — environment |
[…] |
[…] |
[…] |
[…] |
Power — turbo-systems |
[…] |
[…] |
[…] |
[…] |
Power — services |
[…] |
[…] |
[…] |
[…] |
T&D (power conversion included) |
[…] |
[…] |
[…] |
[…] |
Transport |
[…] |
[…] |
[…] |
[…] |
Marine |
[…] |
[…] |
[…] |
[…] |
Corporate and others |
[…] |
[…] |
[…] |
[…] |
Buffer |
[…] |
[…] |
[…] |
[…] |
Operating income Operating margin |
(0,507) – 2,4 % |
[↗] |
[↗] |
[↗] |
EBIT |
(1,062) |
[↗] |
[↗] |
[↗] |
Free cash flow |
(0,265) |
[↘] |
[↗] |
[↘] |
Total gross debt |
6,688 |
[↘] |
[↘] |
[↘] |
Economic debt |
4,918 |
[↘] |
[↘] |
[↘] |
Equity |
0847 |
[↗] |
[↘] |
[↗] |
Debt/equity |
581 % |
[↘] |
[↗] |
[↘] |
(EUR billion) |
|||
Financial year |
2004/2005 |
2005/2006 |
2006/2007 |
Total gross debt |
[…] |
[↘] |
[↘] |
Economic debt |
[…] |
[↘] |
[↘] |
Equity |
[…] |
[↘] |
[↗] |
Debt/equity |
[…] |
[↘] |
[↘] |
4. Other measures
III. JUSTIFICATION OF THE PROCEDURAL OPTIONS
IV. COMMENTS FROM INTERESTED PARTIES
V. COMMENTS FROM FRANCE
VI. ASSESSMENT
1. Market analysis(19)
2. Existence of aid
(a) Measures 1 to 6
(b) Measures 7 to 10
3. Amount of aid
(EUR billion) |
|
Measure |
Maximum amount of aid |
EUR 1.2 billion in short-term liquidity (measure 2) |
|
of which — EUR 300 million renewed |
0,3 |
— EUR 900 million repaid (EUR 800 million repaid thanks to the following three measures) |
0,1 |
TSDDRA (measure 1) |
0,3 |
PSDD to be converted into capital (measure 4) |
0,3 |
TSDD to be converted into capital (measure 5) |
0,2 |
Capital increase II (measure 6) |
0,17/0,22 |
Guarantee covering the bonding facility (measure 3) |
|
of which — 12 months counter-guarantee for 65 % of EUR 3,5 billion in bonds |
0,411 |
— second-loss guarantee covering the EUR 8 billion in bonds |
1,25 |
Total |
3,03/3,08 |
4. Compatibility of the aid with the common market
(a) Rescue aid
(b) Restructuring aid
(EUR billion) |
|
Measures |
Amount |
Bank/Investors |
|
Capital increase I |
0,3 |
ORA |
0,9 |
Renewed short-term liquidities (measure 2) |
0,3 |
PSDD with possible conversion into capital (measure 4) |
1,20 |
Bonds amounting to EUR 8 billion (measure 3) |
6,05 |
Capital increase II (measure 6) |
0,83-0,98 |
Alstom |
|
Financing of the collateral covering initial losses (measure 6) |
0,7 |
Total |
10,3-10,4 |