Europese Commissie opent onderzoek naar staatssteun Franse veerdienst (en)
Brussels, 22 June 2011 - The European Commission has opened a formal investigation to examine whether the EUR 223 million recapitalisation plan for SeaFrance by the SNCF is compatible with EU rules on state aid. The Commission will consider in particular whether the company can realistically become viable in the long term without public support and whether its participation in the restructuring costs is sufficient. SeaFrance provides maritime transport services (passengers and freight) on the Calais-Dover route. The opening of an investigation gives third parties the opportunity to comment and does not prejudge the outcome of the procedure.
Joaquín Almunia i , Vice-President of the Commission responsible for competition, said: "Rescue and restructuring aid is one of the most distortive types of State support. The Commission must make sure the company contributes its fair share of the burden and that it is ultimately viable without further State support."
The Commission has opened an in-depth investigation into the restructuring of SeaFrance because it has serious doubts as to the company's prospects for returning to viability in the framework of the notified plan and the level of the company's own contribution, which is well below the 50% required in principle for large companies. The Commission also questions whether the measures proposed to limit competitive distortions caused by the aid are sufficient.
In August 2010 the Commission authorised a credit line for between EUR 40 and EUR 70 million as rescue aid for SeaFrance on condition that the French authorities submit, within six months, a restructuring plan demonstrating the firm's future viability and avoiding any undue distortions of competition. The restructuring plan notified on 18 February 2011 provides for a capital increase of EUR 223 million, which will be subscribed by SNCF Participations, SeaFrance's sole shareholder.
Two other measures that France considers do not constitute state aid have already been implemented: the extension, on 23 February 2010, of a cash flow agreement signed on 16 February 2009 between SNCF and SeaFrance, and the funding granted to SeaFrance by SNCF with a view to exercising the call option on the SeaFrance Berlioz ferry.
At this stage the Commission cannot rule out the possibility that these two measures might also constitute state aid.
Background
The granting of state aid to firms in difficulty is subject to strict conditions set out in the EU guidelines on rescue and restructuring aid (see MEMO/04/172). Such aid must be accompanied by a restructuring plan that can restore the firm's long-term viability. As rescue and restructuring aid is one of the most distortive types of State support, it must be accompanied by measures compensating the distortive effect of aid, such as reduction of the firm's capacity and market presence or of barriers to the entry of new operators. The beneficiary must also contribute substantially to the restructuring costs.
The in-depth investigation will give third parties the opportunity to comment on whether they consider all the above measures to be state aid and whether they are compatible with the internal market.
The non-confidential version of the decision will be published in the Official Journal of the EU and made available under the case number SA.32600 in the State Aid Register on the DG Competition website once any confidentiality issues have been resolved. The electronic newsletter State Aid Weekly e-News lists the most recent decisions on state aid published in the Official Journal and on the website.