Steel industry: aid code (implementing dec. 2496/96/ECSC). 1998 Report

PURPOSE : presentation of the Commission's Report on the Implementation in 1998 of Commission Decision 2496/96/ECSC of 18/12/1996 establishing Community rules for State aid to the steel industry. CONTENT : this report covers the second year of application of the Sixth Steel Aid Code. The Commission took a total of 27 decisions under the Code. Amongst these decisions, in 2 instances, the Commission declared that the operations in question did not constitute state aid (the SWB capital increase and the takeover of Preussag); and in 2 other cases, concerning ESF Feralpi and the Luxembourg steel research programme, the Commission terminated proceedings when the notification was withdrawn by the national authorities. In 4 other cases, the Commission declared aid incompatible and required their repayment (GMH, Feralpi, Italian tax legislation and ProfilArbed). There was one partially negative decision, in relation to Acciaierie di Bolzano. Other than the 2 decisions initiating proceedings with regard to aid to Neue Maxhutte; the remaining decisions all approved the aid under consideration.�